Answer: After 7 years, the value of the sailboat is $3045.49.
Step-by-step explanation:
Since we have given that
Original value of the sailboat = $9500
Depreciation rate = 15%
Number of years = 7
As we know the formula for "Compound Interest "i.e
\(A=P(1-\frac{r}{100})^n\)
where,
A denotes Amount
P denotes original value
r denotes rate of depreciation,
n denotes number of years.
So, our equation becomes ,
\(A=9500(1-\frac{15}{100})^7\\\\A=9500(1-0.15)^7\\\\A=9500(0.85)^7\\\\A=\$3045.49\)
Hence, after 7 years, the value of the sailboat is $3045.49.
