Constant and Variable Scenario 1

Rates of Change
Yosef puts $10 from every paycheck into a jar in
his closet to save longterm. How has the cash
balance in the jar changed over time?

Is this rate of change Constant, Variable, or

Not Enough Information?
ANSWER: Constant
For this part of the Group Assignment, you
will simply be analyzing different scenarios
to determine if they have constant or
variable rates of change, or if there isn’t Why? The Savings $10 is constant and
enough information to tell. Then explain there is no interest
why you answered like you did.

Please see your textbook if you have any

questions about the difference between
variable and constant rates of change. Scenario 4

African Elephant Numbers Plummet 30 Percent,

Landmark Survey Finds. How has the African
Elephant population changed over time?

Is this rate of change Constant, Variable, or Not

Enough Information?

ANSWER: Not enough information

Why? There is no time found

 Scenario 1
$10 from every paycheck into a jar in
o save longterm. How has the cash
he jar changed over time?
of change Constant, Variable, or
h Information?
Constant
e Savings $10 is constant and
no interest
Scenario 4
phant Numbers Plummet 30 Percent,
urvey Finds. How has the African
opulation changed over time?
of change Constant, Variable, or Not
ormation?
Not enough information
ere is no time found
Scenario 2
Carlos and Sofia earn 3.7% interest annually
from their savings account. How has the balance
in their savings account changed over time?
Is this rate of change Constant, Variable, or Not Is this rate of change Constan
Enough Information? Enough Information?
ANSWER: Variable ANSWER: Constant
Why? The amount Carlo and Sofia Why? There is rise is g
change over time because of the every week
interest rate
Scenario 5
The urban population of Bangkok Thailand grew
from 7.8 million people to 9.6 million between
2000 and 2010, a relatively modest annual
growth rate of 2.0%. It has the ninth largest
population in East Asia. How has the population
of urban Bangkok changed over time?
Is this rate of change Constant, Variable, or Not
Enough Information?
ANSWER: Variable
Why? The population of Bangkok
changes over time based on the
growth rate
 Scenario 3

Every week all spring the price of gas has risen

by 2 cents. How has the price changed over
time?

Is this rate of change Constant, Variable, or Not

Enough Information?

ANSWER: Constant

Why? There is rise is gas of 2 cents

every week
Scenario Questions
How much money does Ali have in his acc
Ali and Bruno were born the exact same day. Their 803491.45
retirement accounts average 7% APR and compound
monthly. How much money does Bruno have in his
65?
Ali: When Ali graduated from college at age 24, he began 609985.5
saving for retirement. He put $500 per month into a 401K Which one has more in their accounts?
account. After 11 years he stopped paying into the
account, but he left the money in the account where it Ali
earned interest for the next 30 years. Who deposited more money into their ac
Bruno
Bruno: After college Bruno worked hard but did not start
to save for retirement until he was 35 years old. He put
$500 per month into his 401K savings account for the next
30 years.

h money does Ali have in his account at age 65?
5
h money does Bruno have in his account at age
e has more in their accounts?
Ali
osited more money into their account?
Work
Use the FUTURE VALUE (FV) function to answer the
questions. If you have questions about the FV function,
refer to the textbook.
Two hints:
1. Can one FV Function model how much money Ali will
have at age 65?
2. The ‘pv’ part of the FV Function is where you put in the
amount originally deposited in an interest bearing
account, over and above the monthly amount.
Scenario

Carolina and Evangeline are new freshmen. Each woman

decided to get the maximum student loan for their first
semester, and neither of them take out any more student
loans for the rest of their education. Both loans have an
APR of 4.5% and were for $6250.

Carolina: Carolina's loan is a Subsidized Student Loan. This

means the federal government pays the interest on the
loan until 6 months after Carolina leaves school. This loan is
need-based.

Evangeline: Evangeline’s loan is an Unsubsidized Student

Loan. Interest begins to accrue as soon as the loan is taken
out. This loan in not need-based. The interest is
compounded monthly and Evangeline does not make
payments until 6 months after she graduates.
Questions Work
If Carolina graduates in 4 years how much money does she As needed, use the Future Value (FV
owe on her loan 6 months after graduation? what Carolina and Evangeline owe 6
graduation.
$6,250.00

If Evangeline graduates in 4 years how much money does

she owe on her loan 6 months after graduation?
$7,649.98
 d, use the Future Value (FV) function to calculate
olina and Evangeline owe 6 months after
on.
 Save this file and upload it to the W09 Group
Assignment Submission folder in I-Learn.

Then, as a group, answer the W09 Group Assignment

Quiz.