a musician buys a piano for $5,000. if the value of the piano depreciates by 20% every year, what is the…

a musician buys a piano for $5,000. if the value of the piano depreciates by 20% every year, what is the value of the piano after 5 years?\nremaining amount = ?(1 - )^ \nremaining amount = i(1 - r)^t\nenter the number that belongs in the green box

a musician buys a piano for $5,000. if the value of the piano depreciates by 20% every year, what is the value of the piano after 5 years?\nremaining amount = ?(1 - )^ \nremaining amount = i(1 - r)^t\nenter the number that belongs in the green box

Answer

Explanation:

Step1: Identify the initial - value

The initial value of the piano $I = 5000$. This is the value of the piano at the start, which is the number that goes in the green box in the formula $Remaining\ Amount=I(1 - r)^t$.

Step2: Identify the rate of depreciation

The rate of depreciation $r = 0.2$ (since 20% = 0.2).

Step3: Identify the time - period

The time $t = 5$ years.

Answer:

5000