Question

1. Charlie bought a new computer for $450 with his credit card. He plans to pay the minimum payment

of $25 per month. What is the rate of change, including units ?

Answer 1

Given:

Charlie bought a new computer for $450 with his credit card.

He plans to pay the minimum payment of $25 per month.

To find:

The rate of change.

Solution:

Let y be the remaining amount of loan after x months.

Initial amount of loan = $450

Payment of one month = $25

Payment of x months = $25x

Now,

Remining amount = Initial amount of loan - Payment of x months

`y=450-25x` ...(i)

The slope intercept form is

`y=mx+b` ...(ii)

where, m is slope and b is y-intercept.

From (i) and (ii), we get

`m=-25`

Therefore, the rate of change is -25 dollars.