Sandeep bought a car for Rs. 800000. If the price of the car deprecates by 20% every year, at what price can he sell the car after 2 years?Question 14Answera.Rs. 612000b.Rs. 912000c.Rs. 512000d.Rs. 502000
Question
Sandeep bought a car for Rs. 800000. If the price of the car deprecates by 20% every year, at what price can he sell the car after 2 years?Question 14Answera.Rs. 612000b.Rs. 912000c.Rs. 512000d.Rs. 502000
Solution
The price of the car depreciates by 20% every year.
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After the first year, the price of the car will be 80% of the original price. So, 80/100 * 800000 = Rs. 640000.
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After the second year, the price of the car will again depreciate by 20%. So, 80/100 * 640000 = Rs. 512000.
So, Sandeep can sell the car for Rs. 512000 after 2 years.
Therefore, the answer is c. Rs. 512000.
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