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Veronika
7 days ago
7

The manufacturer's suggested retail price (MSRP) for a particular car is $25,425, and it is expected to be

Mathematics
1 answer:
PIT_PIT [9.1K]7 days ago
3 0

Response:

(a) The linear depreciation function relating to the car's value y after a few years t is given by:

y = 25,425 - 2,739 × t

(b) The projected worth of the car in 7 years amounts to $6,252.

(c) The depreciation is at a rate of $2,739 yearly.

Step-by-step explanation:

The manufacturer's suggested retail price (MSRP) for the vehicle is $25,425.

Its expected valuation in 5 years is $11,730.

(a) The linear depreciation formula is as follows:

Depreciation \ Per \ Year \ = \dfrac{Cost \ of \, Asset - Salvage \ Value}{Life \ of \, Asset \ in \ use}

Where;

Asset Cost = $25,425

Salvage Value = $11,730

Asset Lifespan = 5 years

From this, we obtain;

Depreciation \ Per \ Year \ = \dfrac{\$ 25,425 - \$11,730}{5} = \$2,739/year

Thus, the linear depreciation function can be expressed as:

y - 25,425 = -2,739×(t - 0)

y = -2,739·t + 0 + 25,425 = 25,425 -2,739·t

y = 25,425 - 2,739 × t

Where;

y = The estimated worth of the car after a specified duration

t = The years calculated for depreciation

(b) The value of the vehicle in 7 years can be calculated as below;

For t = 7, we find;

y = 25,425 -2,739·t = y = 25,425 -2,739 × 7 = $6,252

The expected car value after 7 years is $6,252.

(c) Depreciation \ Per \ Year \ = \dfrac{\$ 25,425 - \$11,730}{5} = \$2,739/year

The car depreciates at a yearly rate of $2,739.

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Answer:

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Here's the detailed explanation:

Remaining question below:

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Answer:

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Step-by-step explanation:

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