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10 August, 11:10

Sally bought a car for 35000 in 2017. If the car loses 5.5% semiannually, what will the value of the value of the car be at the end of 2025

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  1. 10 August, 11:11
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    The value of the year at the end of 2025 will be given by:

    A=P (1+r/100) ^n

    where:

    A=future value

    P=principle

    r=rate

    n=number of terms

    hence for the data given;

    p=35000

    R=5.5

    n = (2025-2017) * 2=16

    Thus

    A=35000 (1+5.5/100) ^16

    A=$82, 434. 20
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