Question

The worth of a car decreases from $₹8,50,000$ to $₹5,12,000$ in a 2 years. Find the rate of depreciation.

• A. $15\%$
• B. $14\%$
• C. $13\%$
• D. $16\%$

Answer 1

Answer: (A)

Now, we have
$\frac{612000}{850000}=(1-\frac{R}{100}{)}^2$
$(\frac{72}{100})=(1-\frac{R}{100}{)}^2$
$0.85=1-\frac{R}{100}$
$85=100-R$
$\Rightarrow R=15\%$