Re: The rate of depreciation?

From: Robert Israel (israel_at_math.ubc.ca)
Date: 12/05/04


Date: 5 Dec 2004 19:23:58 GMT

In article <soWdnSnLX-AN3S7cRVn-3A@adelphia.com>,
Mostro <mostro@adelphia.netnospam> wrote:
> I am looking for help with the following problem. Does anyone have the
>below book? I am having a hard time finding depreciation resources on the
>web.

>1. Depreciation The rate of depreciation dV/dt of a machine is inversely
>proportional to the square of where V is the value of the machine t years
>after it is purchased. The initial value of the machine is $500,000. By the
>end of the first year, the value of the machine decreases $100,000. Estimate
>its value after 4 years.

You seem to be missing something important after "the square of".
There's nothing special about depreciation. You want to write a
differential equation for V and solve it...

Robert Israel israel@math.ubc.ca
Department of Mathematics http://www.math.ubc.ca/~israel
University of British Columbia Vancouver, BC, Canada