16. A car depreciates in value at a rate of 10%. The car currently has a value of $12,000.

What will be its value in 10 years?

Answer: $4,184.14

Step-by-step explanation:

If a car depreciates, it mean the the car is losing it's marketable worth and sometimes at a constant rate. The worth of the car after some years does not remain the same.

The formula for this depreciation when at a constant rate is denoted as:

D = P * [1 - r/100]^n

Where:

D=the Depreciated value of the car after n period which is what is being determined.

P = initial value of the car before depreciation is considered and in this case, P = $12,000

r = constant Rate Of depreciation and in this case = 10%

n = period being considered, which in this case, n = 10years.

Hence,

D = 12,000 * [1 - 10/100]^10

D = $4,184.14