question 4 (4 points)\nyour friend purchased a van for $20,150. the van depreciates at a rate of 19% per…

question 4 (4 points)\nyour friend purchased a van for $20,150. the van depreciates at a rate of 19% per year. after 5 years, your friend decides to sell the van. what is the value of the van after 5 years?\nuse this formula:\n$fv = pv(1 - r)^t$\nenter the dollar amount rounded to the nearest cent.\nyour answer:\nanswer

question 4 (4 points)\nyour friend purchased a van for $20,150. the van depreciates at a rate of 19% per year. after 5 years, your friend decides to sell the van. what is the value of the van after 5 years?\nuse this formula:\n$fv = pv(1 - r)^t$\nenter the dollar amount rounded to the nearest cent.\nyour answer:\nanswer

Answer

Explanation:

Step1: Identify the values

$PV = 20150$, $r=0.19$, $t = 5$

Step2: Substitute into the formula

$FV=20150\times(1 - 0.19)^5$ $FV=20150\times(0.81)^5$

Step3: Calculate $(0.81)^5$

$(0.81)^5=0.81\times0.81\times0.81\times0.81\times0.81 = 0.3486784401$

Step4: Calculate $FV$

$FV=20150\times0.3486784401\approx7026.87$

Answer:

$7026.87$