Answer:
1. A car priced at $25,329 is financed with a simple interest rate of 4.25% for 5 years with no down payment. Payments of $511.86 are made each month. Another car priced at $22,464 is financed with a simple interest rate of 3.78% for 5 years with a down payment of $2,500. Payments of $395.62 are made each month. a. For each loan, generate a table, graph, and equation that can be used to represent the balance after the down payment, if applicable, and the first 12 months of payments. The tables should represent the number of months in terms of x and the balance of the loan after each month’s payment in terms of y. b. Determine the rate of change, or slope, of each line and state the y-intercepts. c. Using your generated graph for the first situation, describe how the unit rate of the amount of money paid monthly is related to the slope of the line. d. Determine if each relationship represented in the table, graph, and equation represents a proportional or non- proportional situation.
Explanation:
Car 1
Price of the car $25,329
Add Interest ($25,329 * 4.25% / 12 * 12 * 5) = $5382.41
Total amount to be paid $30711.41
X Y
0 30711.41
1 30199.55
2 29689.69
3 29175.83
4 28663.97
5 28152.11
6 27640.25
7 27128.39
8 26616.53
9 26104.67
10 25592.81
11 25080.95
12 24569.09
Equation
Y = 30711.41 - 511.86 * x
Car 2
Price of the car $22,464
Less down payment - $2500
Amount to be financed $19964
Add interest (19964 * 3.78% / 12 * 12 * 5) $3773.20
Total amount to be paid $23737.20
X Y
0 23737.20
1 23341.58
2 22945.96
3 22550.34
4 22154.72
5 21759.10
6 21363.48
7 20967.86
8 20572.24
9 20176.62
10 19781.00
11 19385.38
12 18989.76
Equation
Y = 23737.20 - 395.62 * x
b) Determine the rate of change, or slope, of each line and state the y-intercepts
Car 1 Car 2
Slope of each line 511.86 395.62
Y intercept 30711.41 23737.20
c) Using your generated graph for the first situation, describe how the unit rate of the amount of money paid monthly is related to the slope of the line.
Ans; The unit rate is same because in both payments are made monthly
d) Determine if each relationship represented in the table, graph, and equation represents a proportional or non- proportional situation
Ans; Each relationship represented in the table , graph and equation is not proportional because it doesn't cross the origin.