GED Mathematical Reasoning TestAlgebraic Problem Solving with Graphs and FunctionsEasy

A client is tracking their savings account balance. The balance (B) in dollars over time (t) in months is represented by the equation B = 150t + 500. What does the number 500 represent in this context?

  1. AThe amount added to the account each month
  2. BThe total amount saved after 150 months
  3. CThe initial amount deposited
  4. DThe monthly interest rate
Show answer & explanation

Correct answer: C. The initial amount deposited

In a linear equation y = mx + b, the 'b' term represents the y-intercept, which is the starting value or initial amount when x=0. Here, B is the balance and t is time, so 500 is the balance when t=0.

Why the other options are wrong

  • A. The amount added each month is represented by the coefficient of t, which is 150.
  • B. The total amount after 150 months would be 150(150) + 500, not just 500.
  • D. The monthly interest rate would typically be a multiplier or part of an exponential function, not a constant added term.

Interpreting Y-intercept

The y-intercept of a linear equation (y = mx + b) represents the initial value or starting point of the dependent variable when the independent variable is zero.

  • It's the point where the line crosses the y-axis.
  • In real-world scenarios, it often signifies a starting amount, initial cost, or baseline value.
  • It occurs when the independent variable (x) is 0.

Memory trick: The 'Y' in Y-intercept stands for 'Your Starting Point'!

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