Question

The cost of a machine is Rs.10000.If the cost decline rate is 15% per annum, then what will be the cost of the machine four years later?

• A. Rs.5220
• B. Rs.5570
• C. Rs.5870
• D. Rs.5580
• E. Rs.5890

Answer 1

The correct option is A

Rs.5220

$A=P(1-(\frac{r}{100}{)}^3)$

$A=Rs.5220$