A machine costs ₹ 7500. Its value decreases by 5% every year due to usage. What will be its price after one year?
The cost price of the machine = ₹7500
Decrease in price = 5%
Decreased price after one year:
= 7500 (1 − 5/100) = 7500 × (95/100)
= 75 × 95
= ₹7125
Hence, the required price = ₹7125.