Answer:
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
[tex]A=A_{0}(1-r)^{t}[/tex]
Where [tex]A[/tex] is the final value, [tex]A_{0}[/tex] is the initial value, [tex]r[/tex] is the rate of depreciation and [tex]t[/tex] is the time.
Replacing all values, we have
[tex]A=20300(1-0.0875)^{12}[/tex]
[tex]A=6765.35[/tex]
Therefore, after 12 years the car will value $6,765.35.
