Enter Depreciation Problem

Answer
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B(3) = 8,573.75

↓Steps Explained:↓

Solve this depreciating percent problem

anassetworth10000depreciates5%for3years

Book Value Formula

B(t) = A(1 - d)t

Calculate depreciation rate:

Depreciation rate (d)  =  Depreciation %
  100

Depreciation rate (d)  =  5
  100

Depreciation rate (d) = 0.05

Plug in our values

B(3) = 10000(1 - 0.05)3

B(3) = 10000(0.95)3

B(3) = 10000(0.857375)

Final Answer

B(3) = 8,573.75
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