Anew car is purchased for 20300 dollars. the value of the car depreciates at 8.75% per year. what will the value of the car be, to the nearest cent, after 12 years?

Step-by-step explanation:

Here we have to use the rate of depreciation, the initial value and the total time to find the final value with this formula

Where is the final value, is the initial value, is the rate of depreciation and is the time.

Replacing all values, we have

Therefore, after 12 years the car will value $6,765.35.