a home purchased for $3000,000 depreciated 8% over a 1-year period. What was the value of the home after the end of the year?
2006-09-25 18:28:54 · 3 answers · asked by TABITHA L 1 in Education & Reference ➔ Homework Help
Well... it decreased in value for 1 year at a rate of 8% per year. So you take the value (3mil) and multiply it by the rate (.08) giving you the amount of the loss (240,000). Then take the original cost of the house (3mil) and subtract the loss (240,000) from it and you have the value of the home after the end of the year ($2.760.000.00).
Hope this helps!
2006-09-25 18:36:36 · answer #1 · answered by wrkey 5 · 0⤊ 0⤋
depreciation is a loss of money. the two guys above are right but perhaps your question can specify properly whether the purchase price of the home is 3million($3,000,000) or 3 hundred thousand($300,000)
2006-09-26 02:09:25 · answer #2 · answered by mei mei 4 · 0⤊ 0⤋
$300,000
8% depreciation = $24,000
300,000-24,000=
$276,000
2006-09-26 01:36:04 · answer #3 · answered by Donna S 2 · 0⤊ 0⤋