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Answer:
Choice 3: David's equation is correct because their spending will be multiplied by the number of months and then subtracted from their savings.
Explanation:
In the question, $12,350 is given as the initial value and '240x' is the monthly spending in terms of x.. When writing the equation, we must subtract 240x because the money is being spent.
The correct equation for this situation would be:
y = 12,350 - (240x).
Thus, David's Equation is correct.