Question

If Wayne buys a motorcycle for $8000. Each year the motorcycle loses 20% of its value from the previous year. How much is the motorcycle worth after three years?

Answer 1

4096
8000-(8000 *.2)=6400
6400-(6400*.2)=5120
5120-(5120*.2)=4096
=
4096

Answer 2

20/100 x 8000 = 1600
1600 x 3 = 4800
8000 - 4800 = 3200

The motorcycle is worth $3,200 after three years.