Arithmetic Reasoning Question
There are a variety of topics in Arithmetic Reasoning that I cover in my ASVAB prep course. Percentages is one of these topics. As an ASVAB tutor, I remind my students of the importance of reviewing a variety of percentage word problems. I review percent increase and decrease formulas, population change, discount, multiple discounts, sales, tax, tip, commission, interest, rate, compound interest, and depreciation. All of these types of questions involve the use of percentages.
Today I present an Arithmetic Reasoning question. The topic is depreciation.
The question is:
If Tom’s car is worth $9,000 and depreciates by 7% per year, how much will his car be worth in 2 years?
A. $7740.30
B. $7784.10
C. $8370.20
D. $8860.00
This problem is a four-step problem. Do you know what steps to take to solve this depreciation problem? I will present the answer and explanation tomorrow.
