Question

The value of a machinery is Rs.20000, which is depreciating at the rate of 15% annually. What will be the value of the machinery after 2 years in rupees?
___

Answer 1

Given: P = 20,000
Rate of depreciation = 15 % and
n = 2 years

$A=20000\times {[1-\frac{15}{100}]}^2$

= Rs. 14,450

Therefore, after 2 years the value of machinery will be Rs 14,450