Answer:
(a) 20256.15625
(b) 17642.78546
Step-by-step explanation:
(a) There's a formula for this problem y = A(d)^t where, A is the initial value you are given, d is the growth or decay rate and t is the time period. So, in this case, as the car cost is decreasing it is a decay problem and we can write the formula as such; y = A(1-R)^t
So, in 5 years the car will be worth, 25500(1-4.5%)^5 or 20256.15625 dollars
(b) And after 8 years the car will be worth 25500(1-4.5%)^8 or 17642.78546 dollars.
