Answer
7 years
Work Step by Step
Let us consider the value of time (in years) be that takes for a new car value to reach \[\$12,250\], then the variation in the car value due the decreasing value of the car per year can algebraically be stated as,
\[\begin{align}
& \$50,750-\left(\$5500\right)t=\$12,250\\&\left(5500\right)t=50,750-12,250\\&5500t=38,500\\&t=7\end{align}\]
It would take 7 years for new car value worth \[\$50,750\], with a decreasing value of \[\$5500\] to reach a value of \[\$12,250\].
