math_celebrity Administrator Staff member Jan 18, 2017 #1 You purchase a car for $23,000. The car depreciates at a rate of 15% per year. Determine the value of the car after 7 years. Round your answer to the nearest cent. Set up the Depreciation equation: D(t) = 23,000/(1.15)^t We want D(7) D(7) = 23,000/(1.15)^7 D(7) = 23,000/2.66002 D(7) = 8,646.55

You purchase a car for $23,000. The car depreciates at a rate of 15% per year. Determine the value of the car after 7 years. Round your answer to the nearest cent. Set up the Depreciation equation: D(t) = 23,000/(1.15)^t We want D(7) D(7) = 23,000/(1.15)^7 D(7) = 23,000/2.66002 D(7) = 8,646.55