SOLUTION: please help me solve this problem- A car is worth $9000.Each year it depreciates by 12%.What will it be worth in 5 years?

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Question 120393: please help me solve this problem- A car is worth $9000.Each year it depreciates by 12%.What will it be worth in 5 years?
Answer by tutor_paul(519) About Me  (Show Source):
You can put this solution on YOUR website!
Use the depreciation formula, which is:
V=P%281-R%29%5En
Where:
V= future value, P= present value, R= depreciation rate, and n= # of years.
In your case, you get:
V=9000%281-.12%29%5E5
V=9000%28.88%29%5E5
highlight%28V=4749.59%29
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Good Luck,
tutor_paul@yahoo.com