Delia purchased a new car for $25,350. This make and model straight line depreciated to zero after 13 years. Determine the slope of the depreciation equation.

Question
Functions
asked 2021-03-07
Delia purchased a new car for $25,350. This make and model straight line depreciated to zero after 13 years. Determine the slope of the depreciation equation.

Answers (1)

2021-03-08
Let x be the number of years since the car was purchased and y be the value of the car.
Two points representing the situation are (0,25350) when it is purchased as a new car and (13,0) when it depreciated to 0 after 13 years. Using the slope formula, \(\displaystyle{m}=\frac{{{y}{2}-{y}{1}}}{{{x}{2}-{x}{1}}}=\frac{{{0}-{25350}}}{{{13}-{0}}}=-{1950}\).
The slope is -1950 which means that the value of the car depreciates at a rate of $1950 per year.
0

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