Question

elektra purchased microwave for 450 it depreciates about .6% each year what is the value after eight years?

Answer 1

428.85 because value= initial value × multiplier^(no of years)
Multiplier=100-0.6
99.4÷100
=0.994
Value= 450 × 0.994^8
=428.847.....

Answer 2

274.31 ( approx )

Explanation:

Given,

The original price of the microwave, P = 450,

Rate of decreasing per year, r = 6%,

Time, t = 8 years,

So, the value of the microwave after 8 years,

`A=P(1-(r)/(100))^t`

`=450(1-(6)/(100))^8`

`=274.30602`

`\approx 274.31`