Question

A motorcycle was bought at $Rs.50,000$. Its value depreciates at the rate of $8$% per annum. Find its value after $1$ years.

Answer 1

Given

cost of motorcycle =RS 50,000

ratio depreciates of value = 8%

Time = 1 year.

The Interest of bike = $\frac{PRT}{100}=\frac{50,000\times 8\times 1}{100}$

Interest of bike = 4000 RS.

$\therefore$ cost of bike after 1 year = initial cost -4000

=50,000-4000

cost of bike after 1 year = RS 46,000.