Lawrence purchased a used vehicle that depreciates under a straight-line method. The initial value of the car is $4500, and the salvage value is $500. If the car is expected to have a useful life of another 5 years, How much will it depreciate each year?
A. $800
B. $1000
C. $500
D.5000

Question

Lawrence purchased a used vehicle that depreciates under a straight-line method. The initial value of the car is $4500, and the salvage value is $500. If the car is expected to have a useful life of another 5 years, How much will it depreciate each year?
A. $800
B. $1000
C. $500
D.5000

amistre64 · Answer

if its starting value if 4500, and its ending value is 500

and it decreases in value consistently over 5 years .... what is the rate of change in it value?

you have 2 points of reference, (0,4500) and (5,500) 

find the slope between then