Question & Answer
QUESTION

A machine worth Rs.25, 000 depreciated by $5\% $ Find its value after one year.

ANSWER Verified Verified
Hint:The value of the machine after 1 year can be evaluated by subtracting the $5\% $ of depreciated cost of the machine from its actual cost of the machine. Use this formula to get the answer.

Complete step-by-step answer:
Given that
Cost of the machine is Rs. 25, 000.
Cost is depreciated by $5\% $
So, cost of machine after 1 year = cost of machine $ - $ depreciated cost of machine
By putting the value in the above formula, we get
$
  \therefore {\text{ cost of machine after 1 year}} = 25,000 - \dfrac{5}{{100}} \times 25,000 \\
   = 25,000 - 1250 \\
   = Rs.23750 \\
$
Hence, the value of the machine after 1 year is Rs. 23, 750.

Note- In order to solve these types of problems , remember how to find the profit percentage and loss percentage. Also remember how to find the total amount of loss from the loss percentage. In this problem the price of the machine is reduced to $5\% $ after one year . So, we calculated the reduced amount of price from the percentage. Similar problems can be solved with the same approach as above.