A business purchasing an item for business purposes may use straight-line depreciation to obtain a tax deduction. The formula for the present value, P, after t years is given below, where C is the cost and s is the scrap value after L years. The number L is called the useful life of the item.
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If a certain piece of equipment costs $6,100 and has a scrap value of $2,300 after 5 years, graph the amount you will have in t years. What is the slope of the graph?
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A.
B.
C.
D.
E.
Answer: D
Mathematics
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A.
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D.
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