document.write( "Question 160786: A computer that cost $37,000 has a life expectancy of % years. If it has depreciated to a value of $8000, how old is it? \n" ); document.write( "

Algebra.Com's Answer #118538 by Fombitz(32388) $\"\"$ $\"About$

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I assume by % years you meant 5 years, so that in 5 years it depreciates to $0.
\n" ); document.write( "At time zero, the value is $37000.
\n" ); document.write( "At time 5 years (or 60 months), the value is $0.
\n" ); document.write( "What is the time, T, to reach a value of $8000.
\n" ); document.write( "Use straight line (linear) depreciation.
\n" ); document.write( "Set up a ratio.
\n" ); document.write( " $\"%2837000-8000%29%2F%280-T%29=%2837000-0%29%2F%280-60%29\"$
\n" ); document.write( " $\"%2823000%29%2F%28-T%29=%2837000%29%2F%28-60%29\"$
\n" ); document.write( " $\"T=%2829%2A60%29%2F37\"$
\n" ); document.write( " $\"T=47.02\"$
\n" ); document.write( "The computer is 47 months old.
\n" ); document.write( " \n" ); document.write( "

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