Question 113
The present value of an ATM machine is ₹55,000. The value of the machine depreciates at the rate of 25% every year. What will be the value of the machine after two years?
Solution
The multiplying factor for a decrease of 25% is 0.75
Hence, the value of the ATM machine after two years shall be 55,000$$\times0.75\times\ 0.75$$, which is 30,937.5
