Problema Solution

A car generally depreciates 25% of its original value in the first year. A car is worth 27,300 after the first year. What was its original cost?

Answer provided by our tutors

Let x = the original cost of car 

Here's the equation 

(1 - .25)x = 27,300

75x = 27,300

x = 27,300/.75

x = 36,400 

The original cost of car was $36,400.