Question

A scooter was bought at ₹60000 and its value depreciated at the rate of 7% per annum. Find its value after one year.

• A. Rs 48640
• B. Rs 48000
• C. Rs 55800
• D. Rs 58640

Answer 1

The correct option is C

Rs 55800

Using the formula for depreciating value:

Present Value P = ₹ 60000 ; R = 7 % and n = 1 year

A = 60000 × $[1-\frac{7}{100}]$

A = ₹ 55800
The value of scooter after one year will be ₹55800