Question

A car is purchased for $16,000. After each year, the resale value decreases by 20%. What will the resale value be after 3 years?

Use the calculator provided and round your answer to the nearest dollar.
Pleaseeee answer correctly

Answer 1

The resale value of the car after 3 years will be $8,192.

Step-by-step explanation:

To find the resale value of the car after 3 years, we need to calculate the decrease in value for each year. The resale value of the car decreases by 20% each year. Here are the steps to find the resale value after 3 years:

1. Year 1: $16,000 - 20% of $16,000 = $16,000 - $3,200 = $12,800
2. Year 2: $12,800 - 20% of $12,800 = $12,800 - $2,560 = $10,240
3. Year 3: $10,240 - 20% of $10,240 = $10,240 - $2,048 = $8,192

So, the resale value of the car after 3 years will be $8,192.