Question

The price of a single issue of stock can fluctuate throughout the day. A linear equation that represents the price of stock for Shipment Express is $y=15–1.5x$where x is the number of hours passed in an eight-hour day of trading.

What are the slope and y-intercept? Interpret their meaning.

Short answer

The slope is $b=-\$1.5$and the y-intercept is$a=\$15$..

Step-by-step solution

Given information

Given in the question that a linear equation$y=15–1.5x$.

Solution

The general linear equation formula is,

$y=a+bx$

Here,

$a=$y-intercept

$b=$slope

The y is a dependent and x is an independent variable.

Now the linear equation in the question is

$y=15-1.5x$

So,

The y-intercept is $a=\mathrm{\$}15$which means that one time or fixed value of the stock at the beginning of the day or the no hour has passed yet in an eight-hour day of trading.

The slope is $b=-\mathrm{\$}1.5$means the number of hours passed increased by one,