Frank’s Fight Milk Factory has a filling machine that initially cost $40, 000. Frank estimates that the useful life of the machine will be 12 years, at which time its salvage (scrap) value will be $4, 000. Assume that the price depreciates linearly. a. What is the rate of depreciation of the filling machine per year ? b. Write a linear function that gives the value of this machine in terms of the years t after its initial purchase (0 ≤ t ≤ 12). c. What will be the value of the machine in 6 years ?

A new car costs $27, 000 depreciates to 80% of its value in 2 years. Round all answers to 2 decimal places, where necessary. a. Assume that the depreciation is linear. What is the linear function that models the value of this car t years after purchase? f(t) = Preview b. Assume that the value of the car is given by an exponential function Aekt, where A is the initial price of the car. Find the value of the constant k. Answer exactly. k = Preview c. For the linear model used in part (a), find the value of the car 6 years after the purchase, then do the same for the exponential model used in part (b). Round your answer to 2 decimal places. Linear after 6 years: $ Exponential after 6 years: $

Suppose Becky gets a sales bonus at her place of work that gives her an extra $400 of disposable income. She chooses to spend $300 and save the remaining $100. From this, you can tell that Becky's marginal propensity to consume (MPC) is0.75   , and her marginal propensity to save (MPS) is0.25   .   Mathematically, it must always be true that:   Saving  = a. Disposable income+Comsumption b. Comsumption-Disposable income c. Disposable income-Consumption   Therefore, it must also be true that:   MPS = a. 1-MPC b. 1+MPC c. MPC

1. Company A has 100 stores and adds 50 new stores per year. Company B has 100 stores and increases the number of stores by 50% per year. a. Write a function representing the growth of Company B. b. How many stores will Company B have after 4 years assuming the same growth rate? Show your work.