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Dominique:
You bought a used boat for $2500. The boat depreciates at a rate of 7%. Estimate the reality of the boat in 2 years. Formula: y=C(1−r)t
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Mercury:
not really sure what reality means in the context of finance but it seems like you would just plug in the rate of depreciation (0.07), the initial value C (2500) and the time (2 years) into the equation y=C(1−r)^t and find y
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