The original value of a car is $18,000, and it depreciates (loses value) by 15% each year. what is the value of the car after three years?
If the original value of a car is $18,000, and it loses value by 15% each year, then you can calculate the new value of the car after n years using following formula:
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When n=3, then
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Answer: the value of the car after 3 years is $11,054.25.