Answer:
$25,000
Step-by-step explanation:
The car was worth 100% of its price when it was bought.
Let the x = value of the car when she bought it last year.
It lost 20% of its value, so now it is worth only 80% of the original value.
Now it is worth 80% of x, or 0.8x.
The car is worth now $20,000.00, so 0.8x must equal $20,000.00.
0.8x = 20,000
Divide both sides by 0.8.
x = 20,000/0.8
x = 25,000
Answer: $25,000
