Question

a family buys a car for $20,000. the value of the car decreases about 20% each year. after 6 years, the family decides to sell the car. should they sell it for $4000?

Answer 1

No, the car is losing value not gaining it.

Answer 2

actually heres the breakdown...
year 1 20,000
year 2 decreased 20% is 16,666
year 3 decreased 20% is 13,888
year 4 decreased 20% is 11,574
year 5 decreased 20% is 9,645
year 6 decreased 20% is 8,037
so selling it for $4000 is a major loss on their end so they should NOT sell at that price.