The price of a machine got depreciated by 50% in the 1st year, $33\frac{1}{3}$% in the 2nd year and 25% in the 3rd year. Overall, by how much has the machine depreciated?
Answer & explanation
Correct answer: option 3
Let initial price = 100x
Price after depreciation = \(\frac{50}{100}\) × 33\(\frac{1}{3}\) × \(\frac{25}{100}\) × 100x
= \(\frac{1}{2}\) × \(\frac{2}{3}\) × \(\frac{3}{4}\) × 100x
= 25x
Required percentage = \(\frac{100x - 25x }{100x}\) × 100 = 75%