What is the value of the car after the first year

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Question - In an article on Edmunds website called "Strategies for Smart Car Buying," Philip Reed highlights the need to focus on resale value. After 3 years, some cars are worth 55% of their original value, some only 20%. Edmunds lists the 2008 Mini Cooper Clubman as the car most likely to depreciate the least. Trish Eberhart decided to purchase a Mini Cooper Clubman. She found a 2008 model for $23,920. Use MACRStable. During the first year using MACRS, how much will the car depreciate (assume a 3-year life class)? What is the value of the car after the first year?

Reference no: EM132149988

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