A car is purchased for $15,500. After each year, the resale value decreases by 20%. What will the resale value be after 3 years?Use the calculator provided and round your answer to the nearest dollar.

Step 1: Understand the problem. The car's value decreases by 20% each year. We need to find out what the car's value will be after 3 years.

Step 2: Calculate the annual depreciation. To do this, multiply the car's current value by the depreciation rate (20%).

For the first year: $15,500 * 20$3,100

Step 3: Subtract the depreciation from the current value to get the car's value at the end of the first year.

$15,500 -$3,100 = $12,400

Step 4: Repeat steps 2 and 3 for the next two years.

For the second year: $12,400 * 20$2,480 $12,400 -$2,480 = $9,920

For the third year: $9,920 * 20$1,984 $9,920 -$1,984 = $7,936

So, the resale value of the car after 3 years will be approximately $7,936 when rounded to the nearest dollar.