A Certain Piece of Machinery Was Purchased 5 Years Ago

question 33

Short Answer

A certain piece of machinery was purchased 5 years ago by Garland Mills for $400,000. Its present resale value is $256,000. Assuming that the machine's resale value decreases exponentially, what will it be 2 years from now? Round your answer to the nearest dollar.
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$__________

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Definitions:

Collateral

Property or assets that are pledged as security for the repayment of a loan, subject to seizure on default.

Consensual Secured Transaction

A financial agreement where both parties agree to the deal, and collateral is provided to secure the transaction.

Debtor

An individual or corporation that owes money or a debt to another, known as the creditor.

Collateral

Assets pledged as security for the repayment of a loan, forfeitable in the event of a default.