The graph depicts a straight line with a negative slope, which represents a linear equation. This could model a situation such as the depreciation of a car's value over time. The x-axis can represent the number of years since the car was purchased, and the y-axis can represent its resale value. As time passes, the car's value decreases at a consistent rate, which is represented by the negative slope of the line. The graph helps visualize how the car's value decreases over time.
The negative slope of the line indicates that the car's value decreases as time increases. This corresponds to the concept of depreciation, where the value of an asset decreases over time due to wear and tear, aging, and obsolescence. The straight line suggests that the car's value is decreasing at a constant rate, meaning that the decrease in value is consistent over the entire time period.
By using the graph, we can determine the car's resale value at any given point in time since the purchase. For example, if the line intersects the y-axis at a value of $20,000, it means that the car had a resale value of $20,000 at the time of purchase. If we move one year to the right on the x-axis, we can see that the resale value decreases by a certain amount, illustrating the car's depreciation after one year. We can continue this process for any number of years to estimate the car's value at any point in time.
The graph can also help us predict the future depreciation of the car. By extrapolating the line beyond the current data points, we can estimate the car's value in future years. This can be useful for financial planning or determining the optimal time to sell the car.
Overall, the graph with a straight line and negative slope provides a visual representation of how the car's value decreases over time due to depreciation. It helps us understand and analyze the depreciation process and make predictions about the car's future value.