UNIFORM RATE OF DEPRECIATION WORD PROBLEMS

Problem 1 :

In the first year after purchase, a car costing €14300 depreciated 18%. What was its value after one year?

Solution:

Given, Cost of car = 14300, Depreciation = 18%

Value after one year = Cost - Depreciation

Hence, value of car after one year is €11726.

Problem 2 :

Find the depreciation during the first year if a ring bought for €2300 depreciated at a rate of 9.3% pa.

Solution:

Given, P = €2300

Rate (r) = 9.3%

n = 1 year

Depreciation in value = P - Q

So, Depreciation is €213.90

Problem 3 :

Find the value of a yacht after 2 years if its original value was $136000 and the rate of depreciation is 12% pa.

Solution:

Given, P = $136000

Rate (r) = 12%

time (n) = 2 years

Hence, value of yacht after two years is $105318.40.

Problem 4 :

A machine is purchased for $8160. If it depreciates at a rate of 8% pa, what will be its value after 2 years?

Solution:

Given, P = $8160

Rate (r) = 8%

time (n) = 2 years

Hence, value of machine after two years is $6906.62.

Problem 5 :

Furniture purchased for $1350 depreciates at a rate of 11% pa. What would be its value after 3 years?

Solution:

Given, P = $1350

Rate (r) = 11%

time (n) = 3 years

Hence, value of furniture after three years is $951.71.

Problem 6 :

Find the value of a teacher's library after 3 years if its original value was $5800 and it depreciated at a rate of 10% pa.

Solution:

Given, P = $5800

Rate (r) = 10%

time (n) = 3 years

Hence, value of a teacher's library after three years is $4228.20.

Problem 7 :

If the beaver population of our district is 840 and is dropping by 12% pa, how many beavers would you expect to have in the district in 2 years?

Solution:

Given, P = 840

Rate (r) = 12%

time (n) = 2 years

So, 650 beavers have in the district in 2 years.

Problem 8 :

The population of Smallville is dropping at a rate of 4% pa. If its population in 2000 was 56700, what was its likely population in the year 2003?

Solution:

Given, P = 56700

Rate (r) = 4%

time (n) = 3 years

A = 50165