The value of machine depreciates every year by ten percent if the present value of the machine is 54000,what its value last year
x * .9 = 54000
x = 54000/.9
V = Vo - 0.1Vo = 54000.
0.9Vo = 54,000,
Vo = 54,000/0.9 =
To find the value of the machine last year, we need to subtract the depreciation from the present value.
Since the machine depreciates by ten percent every year, the value of the machine after one year would be 100% - 10% = 90% of its present value.
So, to calculate the value last year, we multiply the present value by 90%:
Value last year = Present value * (90/100)
Value last year = 54000 * 0.90
Value last year = 48600
Therefore, the value of the machine last year was $48,600.