You bought a new car for $42000.  Assume the value of the car depreciates by 17% each year. complete the table Age of the Car in years Calculation  Value 0 N/A 42000 1 42000*0.83   2      3      4      ... N/A N/A 10    b. Use the table to find a pattern and develop a formula to model the V= value of the car, after n years. c. linear or not linear?

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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1. You bought a new car for $42000.  Assume the value of the car depreciates by 17% each year.

complete the table

Age of the Car in years Calculation  Value
0 N/A 42000
1 42000*0.83  
2     
3     
4     
... N/A N/A
10   

b. Use the table to find a pattern and develop a formula to model the V= value of the car, after n years.

c. linear or not linear?

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Section 179 Deduction and Modified Accelerated Cost Recovery System (MACRS) Depreciation
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