A manufacturer reckons that the value of a machine which costs him Rs. 15025, will depreciate each year by 20%. Find the estimated value at the end of 5 years.
A
12020
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B
9616
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C
6154.24
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D
4923.39
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Solution
The correct option is B4923.39
Value after 5 years =15025×(1−(20100)5)=15025×0.32768=4923.39Rs