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**Choose the most appropriate option:**

The value of a machine depreciates every year at the rate of 10% on its value at the beginning of that year. If the present value of the machine is Rs. 729, its worth three years ago was:

#### Options

Rs. 1000

Rs. 750.87

Rs. 800

Rs. 947.70

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#### Solution

**Rs. 1000**

**Explanation:**

Let the value of Machine 3 years ago = x

Depreciation rate = 10% pa

Present value = 729

`⇒"x"(1-10/100)^3=729`

x = ₹ 1000

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