SOLUTION: A car depreciates at a rate of 4.5% annually. Greg purchased a car for $12,500. Which equation can be used to determine the value of the car, V, after 5 years?
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Question 753942: A car depreciates at a rate of 4.5% annually. Greg purchased a car for $12,500. Which equation can be used to determine the value of the car, V, after 5 years? Answer by Alan3354(69443) (Show Source):
You can put this solution on YOUR website! A car depreciates at a rate of 4.5% annually. Greg purchased a car for $12,500. Which equation can be used to determine the value of the car, V, after 5 years?
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Each year it's worth (100 - 4.5)% of the year before.
--> 0.955 of its worth.
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For 5 years,
V =
