Dinesh purchases a washing machine for ₹24000. The value of machine is depreciating at the rate of 5% p.a. Calculate its value after 3 years
Answer & explanation
Correct answer: option 3
The correct answer is option (3) : 20577
Given $P= ₹24000$
$i=\frac{5}{100}=0.05$
$n= 3\, years $
So, $ S= 24000 (1-0.05)^3$
$= 24000 (0.95)^3$
$= 24000×0.857375$
$= 20577$