document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=171447>Question 171447</A>: <I><SPAN STYLE=\"word-break: break-all;\"> A recent downturn in economy is causing a man's 401(k) to lose value at a linear rate . On january 1 the account was worth $120,000 and on August 1 it was worth $96,000. If the current trend continues, on december 1 it will be worth how much? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #126589 by </B><A HREF=/tutors/aboutme.mpl?userid=nerdybill><B>nerdybill(7384)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=nerdybill><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=nerdybill><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=126589\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> A recent downturn in economy is causing a man's 401(k) to lose value at a linear rate . On january 1 the account was worth $120,000 and on August 1 it was worth $96,000. If the current trend continues, on december 1 it will be worth how much?<BR>\n" );
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document.write( "worth along y-axis<BR>\n" );
document.write( "months along x-axis<BR>\n" );
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document.write( "january 1 the account was worth $120,000 <BR>\n" );
document.write( "(1,120000)<BR>\n" );
document.write( "August 1 it was worth $96,000<BR>\n" );
document.write( "(8,96000)<BR>\n" );
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document.write( "slope<BR>\n" );
document.write( "m = (y2-y1)/(x2-x1) <BR>\n" );
document.write( "m = (96000-120000)/(8-1) <BR>\n" );
document.write( "m = (96000-120000)/(8-1) <BR>\n" );
document.write( "m = -24000/7<BR>\n" );
document.write( "m = -3428.57 (slope)<BR>\n" );
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document.write( "y = mx + b<BR>\n" );
document.write( "96000 = -3428.57(8) + b<BR>\n" );
document.write( "96000 = -27428.57 + b<BR>\n" );
document.write( "123428.57 = b<BR>\n" );
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document.write( "Our equation of the line is then:<BR>\n" );
document.write( "y = -3428.57x + 123428.57<BR>\n" );
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document.write( "where<BR>\n" );
document.write( "x is the month (1-12)<BR>\n" );
document.write( "y is the worth of portfolio<BR>\n" );
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document.write( "So, to find value for December, set x to 12 and calculate y:<BR>\n" );
document.write( "y = -3428.57x + 123428.57<BR>\n" );
document.write( "y = -3428.57(12) + 123428.57<BR>\n" );
document.write( "y = -41142.84 + 123428.57<BR>\n" );
document.write( "y = $82285.73 </SPAN>\n" );
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