A car is purchased for \( \$ 22,500 \). After each year, the resale value decreases by \( 25 \% \). What will the resale value be after 4 years? Use the calculator provided and round your answer to the nearest dollar.

To determine the resale value of the car after 4 years with a yearly depreciation of \(25\%\), you can use the formula for exponential decay: \[ \text{Resale Value} = \text{Initial Value} \times (1 - \text{Depreciation Rate})^{\text{Number of Years}} \] Plugging in the values: \[ \text{Resale Value} = \$22,500 \times (0.75)^4 \] Calculating step-by-step: 1. **First Year:** \[ \$22,500 \times 0.75 = \$16,875 \] 2. **Second Year:** \[ \$16,875 \times 0.75 = \$12,656.25 \] 3. **Third Year:** \[ \$12,656.25 \times 0.75 = \$9,492.19 \] 4. **Fourth Year:** \[ \$9,492.19 \times 0.75 = \$7,119.14 \] Rounding to the nearest dollar, the resale value after 4 years is: \[ \$7,119 \] **Answer:** After 4 years, the resale value is **\$7,119**.