Question

The average profit loss of a company was document it for 30 months. The 6th month showed a loss of $3000 however the 24th month showed a profit of $6000. assuming the profit loss is linear, write the equation of the line and slope intercept form, that represents a profit loss for each month X. use this result to predict the profit loss after 60 months. use the order pairs (6,-3),(24,6)

Answer 1

Slope intercept form:

y=mx+b

Where:

m= slope

b= y-intercept

Apply the slope formula:

`m=(y2-y1)/(x2-x1)`

where:

(x1,y1) = (6,-3)

(x2,y2) = (24,6)

Replacing:

`m=(6-(-3))/(24-6)=(6+3)/(24-6)=(9)/(18)=(1)/(2)`

So far:

y= 1/2x + b

Replace (x,y) by a point (6,-3) and solve for b

-3 = 1/2 (6) + b

-3= 3 +b

-3 - 3 = b

-6= b

Final equation

y = 1/2x - 6

profit/loss after 60 months (x)

y = 1/2 (60) -6

Y= 30 - 6

y= 24

profit = $24,000