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The value of a motorcycle depreciates at the rate of 5% per year. If its present value is * 45,000, what will be the value after 2 years?

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Respuesta :

Answer:

40612.50

Step-by-step explanation:

First you work out the percentage decrease:

100 - 5 = 95

95/100 = 0.95 (/ means divide)

Then you work out the amount decrease:

Long Method

45000 x 0.95 = 42750

42750 x 0.95 = 40612.50

or Short Method

45000 x 0.95² = 40612.50

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