IDNLearn.com offers a reliable platform for finding accurate and timely answers. Ask your questions and receive prompt, detailed answers from our experienced and knowledgeable community members.

You have recently purchased a new truck for $20,000, by arranging financing for the next five years. You are curious to know what your new truck will be worth when the loan is completely paid off. Assume that the value depreciates at a constant rate of 15%.
What is the initial value?