Answer:
Option (3)
Step-by-step explanation:
Value of a car with a depreciation rate 'r' after time 't' is given by the formula,
v(t) = [tex]v_0(1-\frac{r}{100})^t[/tex]
Here, v(t) = Final value
[tex]v_0[/tex] = Initial value
r = rate of depreciation
From the given function,
v(t) = [tex]24893(0.88)^t[/tex]
v(t) = [tex]24893(1-0.12)^t[/tex]
= [tex]24893(1-\frac{12}{100})^t[/tex]
Now we compare this expression with the formula of depreciation.
[tex]v_0[/tex] = 24893
r = 12%
Therefore, Option (3) will be the answer.
