A car is purchased for $25,000 the value of the car depreciates at 8.25% per year what will the value of the car be to the nearest cent after 15 years

BV = $6,871.18

Step-by-step explanation:

First, write equation for book value at the end of year 1;

BV = 25,000 * (1-0.0825) ^15

With the above equation, we can find book value at the end of year 15;

BV = 25,000 * (1-0.0825) ^15

BV=25000*0.274847

BV = $6,871.18