Question

Hi!
Which graph could represent y, the amount owed on a car loan, as regular payments are made each month, x?

Choose one:

1: https://media.education2020.com/evresources/3109/3109-01/3109-01-01/3109-01-01-assessment/3109-01-01-14a.png

or

2: https://media.education2020.com/evresources/3109/3109-01/3109-01-01/3109-01-01-assessment/3109-01-01-14b.png

Answer 1

What do YOU think? Someone borrows money with which to buy a car, and then pays back the amount borrowed, in monthly installments. Will the amount still owed to the bank increase, stay the same or decrease?

Answer 2

increase? Im not quite sure

Answer 3

You loan me $100. I repay $10 every month. Does the amount I owe you increase, decrease or stay the same?

Answer 4

Oh! It decreases because you owe me less! Is that right?

Answer 5

Yes. Every payment I make to you reduces the amount I still owe you.

Answer 6

So, go back and look at the 2 given graphs. Which one shows a gradual monthly decrease in the amount owed by the borrower?

Answer 7

Number 2

Answer 8

Nice work!

Answer 9

Thank you so much!

Answer 10

My pleasure! See you later.