Question

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

Answer 1

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