A car depreciates 15% per year from $20,000. What is its value after 2 years?
✓ Correct Answer: Option A
After 1 year: $20,000 × 0.85 = $17,000. After 2 years: $17,000 × 0.85 = $14,450.
After 1 year: $20,000 × 0.85 = $17,000. After 2 years: $17,000 × 0.85 = $14,450.