Answer:
3333
This value of depreciation every year will get the car value to [tex]\$ 0 \ \textrm after\ 12 years[/tex].
Step-by-step explanation:
Given: Purchase value of car(b) = [tex]\$ 40000[/tex]
Time(x) = 12[tex]\textrm years[/tex]
Residual value(y) = [tex]\$ 0[/tex]
Depreciation value= m
We will use straight line depreciation method with negative slope to find depreciation value.
Y= -mx + b
⇒ 0 = [tex]-m \times 12 + 40000[/tex]
We will subtract both side by 40000
⇒ -40000 = [tex]-12m[/tex]
Now, divide both side by -12
⇒ m = [tex]\frac{-40000}{-12} = 3333.33[/tex] ≅ 3333
∴ Depreciation value for every year will be [tex]\$ 3333[/tex]
This value of depreciation every year will get the car value to [tex]\$ 0 \ \textrm after\ 12 years[/tex].
