SOLUTION: Economic Downturn:A general trend of economic decline within Newyork city is reflected by fig.5.11. This figure indicates the vacancy rate for offices in Manhattan during the perio

Question 1173606: Economic Downturn:A general trend of economic decline within Newyork city is reflected by fig.5.11. This figure indicates the vacancy rate for offices in Manhattan during the period 1985-1990.the increase in the vacancy rate appears to be approximately linear .The vacancy rate in 1986 was 9.4percent;in 1989,the rate was 13.2 percent.Using these two data points:
(a)Determine the linear function V=f(t),where V equal the estimated vacancy rate in percent and t equal time measured in years since 1985.
(b)Intterpret the slope and V interpret
(c)Using the function,estimate the vacancy rate in 1995

Answer by Boreal(15235) (Show Source): You can put this solution on YOUR website!
1986 will be (1, 9.4), having the x-value = the year-1985
1989 is (4, 13.2)
point-slope formula y-y1=m(x-x1) m slope and (x1, y1) a point.
Slope is 3.8/3
therefore, y-9.4=(38/30)(x-1)
so y=(38/30)x+8.1333
or V=1.27x+8.13 rounded units % vacant
The slope of 1.27% is the increase in the %vacancy per year.
The 8.13% was the vacancy at year 0, or 1985.
in 1995, x=10 and V=12.67+8.13=20.80% vacant.

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