Question

Hank bought a $24,000 car when he graduated from college. If his car depreciates at a rate of 10% per year, how long will it take for the car to lose half its value? A) 4 months B) 5 years C) 6 years, 7 months D) 7 years, 4 months

Answer 1

after 6 and a half, the car will lose half of its value

c

Answer 2

12000=24000 (1-0.1)^t
Solve for t
T=log(12,000÷24,000)÷log(1−0.1)
T=6.6 or approximately 6.7 years

Hope it helps you!