The total sales made by a salesperson was $25,000 after 3 months and $68,000 after 23 months. Predict the total sales after 42 months.
Are we assuming that the relation is linear ?
Then treat the data as two ordered pairs
(3,25000) and (23,68000)
slope = (68000-25000)/(23-3) = 43000/20 = 2150
using the y=mx+b equation for a straight line
sales = 2150month + b
sub in 3,25000)
25000 = 2150(3) + b
b = 18550
sales = 2150month +18550
so if month = 24
sales = ......
To predict the total sales after 42 months, we can use a linear equation based on the sales data given.
First, we need to find the sales increase per month. We can find this by calculating the difference in sales between the two months given:
$68,000 - $25,000 = $43,000
Next, we divide the sales increase by the number of months between the given data points:
$43,000 / (23 - 3) = $43,000 / 20 = $2,150
So, the sales increase per month is $2,150.
Now, we can use this information to predict the sales after 42 months. We multiply the sales increase per month by the number of months between the second data point and the prediction point:
$2,150 * (42 - 23) = $2,150 * 19 = $40,850
Finally, we add this predicted sales increase to the sales at 23 months:
$68,000 + $40,850 = $108,850
Therefore, the predicted total sales after 42 months would be $108,850.