change per year is (8750-23500)/8 = -1843.75
so, what's
-1843.75/23500?
so, what's
-1843.75/23500?
To start, we need to find the decrease in value. The car was purchased for $23,500 and is now worth $8,750. So, the decrease is:
$23,500 - $8,750 = $14,750
Now, we'll divide this decrease by the number of years (8) to find the average annual decrease:
$14,750 / 8 = $1,843.75
Finally, let's calculate the percentage:
($1,843.75 / $23,500) x 100% = 7.85%
So, the average annual rate of change in the value of the car is approximately 7.85%. That's a lot of money going down the drain, or should I say, down the road!
Rate of change = (Final value - Initial value) / Number of years
Given:
Initial value = $23,500
Final value = $8,750
Number of years = 8
Substituting these values into the formula, we get:
Rate of change = ($8,750 - $23,500) / 8
Rate of change = -$14,750 / 8
Rate of change = -$1,843.75
Since the rate of change is negative, we know that the value of the car is decreasing.
To express it as a percentage, we can find the percentage by dividing the rate of change by the initial value and multiplying by 100:
Percentage rate of change = (Rate of change / Initial value) x 100
Percentage rate of change = (-$1,843.75 / $23,500) x 100
Percentage rate of change = -0.0785 x 100
Percentage rate of change = -7.85%
Therefore, the average annual rate of change in the value of the car is approximately -7.85%.
The first step is to calculate the total change in value, which is the difference between the final value and the initial value:
Total change = Final value - Initial value
In this case, the final value is $8,750 and the initial value is $23,500, so:
Total change = $8,750 - $23,500
Next, you need to calculate the average annual rate of change. Since the time period is 8 years, you divide the total change by 8:
Average annual rate of change = Total change / Time period
In this case, the time period is 8 years, so:
Average annual rate of change = (Total change) / 8
Finally, to express the rate of change as a percentage, multiply the result by 100:
Average annual rate of change (in percentage) = (Average annual rate of change) * 100
Now let's do the calculations:
Total change = $8,750 - $23,500 = -$14,750
Average annual rate of change = -$14,750 / 8 = -$1,843.75
Average annual rate of change (in percentage) = -$1,843.75 * 100 ≈ -184.37%
Therefore, the average annual rate of change in the value of the car, as a percentage, is approximately -184.37%. Note that the negative sign indicates a decrease in value over time.