Question

Marv is considering two different vehicles. The Cheetah sells for $12,000 and depreciates at a rate of 18% per year. The Panther sells for $18,000 and depreciates at a rate of 24% per year. Which car is worth more after 6 years?
Answer

Panther, at $3469

Cheetah, at $3469

Panther, at $3648

Cheetah, at $3648

Answer 1

use compound interest formula

Answer 2

\(A = P(1+r)^n\)

Answer 3

A = final value
P = initial value
r = rate (negative here)
n = number of years

Answer 4

Value of Cheetah after 6 years :-
\(A = 12000(1-.18)^6\)
= ?

Answer 5

C i think

Answer 6

i think i put it wrong in the calculator

Answer 7

do it again :)
you need to find the Final Value for both vehicles, and see which one is greater...

Answer 8

3648 cheetah

Answer 9

Correct. What about Panther ?