## Thinking Mathematically (6th Edition)

If the automobile’s beginning value is 37,000 dollars and it is worth 2600 dollars at the end of 8 years, it has depreciated 34,400 dollars (37,000 - 2,600 = 34,400). The total depreciation divided by 8 gives the depreciation per year. ( 34,400 $\div$ 8 = 4,300). So, the automobile depreciates 4,300 dollars per year. After 5 years, the total depreciation is 4,300 x 5 or 21,500 dollars. If we subtract the depreciation after 5 years from the beginning cost of the automobile, we get the value of the automobile after 5 years: 37,000 - 21,500 = 15,500.