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Solve the Problem v=ccrtv=c-c r t in This Formula vv Is the Present Value

Question 155

Multiple Choice

Solve the problem.
-The formula for finding the present value of an item that depreciates yearly is v=ccrtv=c-c r t . In this formula, vv is the present value, cc is the original cost, rr is the rate of depreciation per year, and tt is the number of years that have passed. After 7 years, what is the value of a car originally costing $27,000\$ 27,000 that depreciated at a rate of 0.1 per year?


A) $45,900\$ 45,900
B) $18,900\$ 18,900
C) $8100\$ 8100
D) $0\$ 0

Correct Answer:

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