Question

The value of a car depreciates $20$ every year. If after two years the price of a car is $Rs2,08,000$, find its original price.

Answer 1

Let original price be x Rs

$\therefore$ After one year $=80\%$ of x

$=\left(\frac{4x}{5}\right)Rs.$

$\therefore$ After one more year $=80\%$ of $\frac{4x}{5}$

$=\left(\frac{16x}{25}\right)Rs.$

$\therefore \frac{16x}{25}=208000$ Rs ...............(after two years the price of a car is $208000$ Rs. )

$\therefore x=\frac{208000\times 25}{16}=325000$ Rs

Original price is $325000Rs.$