A machine valued at N20,000 depreciates by 10% every year...
A machine valued at N20,000 depreciates by 10% every year. What will be the value of the machine at the end of two years?
N16,200
N1,4,200
12,000
8000
Correct answer is A
D = P(I - \(\frac{R}{100}\))n where P = N20,000; R = 10%, n = 2
D = 20,000(I - \(\frac{10}{100}\))2
= 20000(0.9)2
20,000 x 0.81 = N16,200
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