Question

The price of a scooter which was bought for ₹84,000 depreciates at the rate of 10% p.a. Find its price after 2 years?

• A. ₹46080
• B. ₹68040
• C. ₹86040
• D. ₹64800

Answer 1

Answer:

B. ₹68040

Solution:

Given:

Principal - Rs. 84000

rate(r) - 10%

Time(t) - 2 years

Formula used: 

For depreciates

$Amount = principal(1-\frac{r}{100})^t$

Calculation:

according to the question,

$Amount = principal(1-\frac{r}{100})^t$

⇒ $Amount = 84000(1-\frac{10}{100})^2$

⇒ $\frac{(84000\times{90}\times{90})}{(100\times{100})}$

⇒ 68040

∴ The price of a scooter after 2 years is Rs. 68040.