A tractor costs $15,750 and depreciates in value by 14% per year. How much will the tractor be worth after 7 years?

Question

 Tough question i need the answer to

Answer 1

Use the equation: Depreciated Value = Initial Value * (1-depreciation rate) ^{number of years}

 

So...

 

Depreciated Value = $15750 * (1-.14)⁷

Depreciated Value = $5479.86