Consumer Credit The total amount of consumer credit has been increasing steadily in recent years. The following table gives the total U.S. outstanding consumer credit (in billions of dollars). Source: Federal Reserve. Consumer Consumer Year Credit Year Credit 2004 2219.5 2009 2553.5 2005 2319.8 2010 2648.1 2006 2415.0 2011 2757.0 2007 2551.9 2012 2924.3 2008 2592.1 2013 3099.2 (a) Find an equation for the least squares line, letting x equal the number of years since 2000. (b) Based on your answer to part (a), at approximately what rate is consumer credit growing per year? (c) Use your result from part (a) to predict the amount of con- sumer credit in 2015.

Functions and Change: A Modeling Approach to College Algebra (MindTap Course List)
6th Edition
ISBN:9781337111348
Author:Bruce Crauder, Benny Evans, Alan Noell
Publisher:Bruce Crauder, Benny Evans, Alan Noell
Chapter3: Straight Lines And Linear Functions
Section3.3: Modeling Data With Linear Functions
Problem 22E
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Consumer Credit The total amount of consumer credit has
been increasing steadily in recent years. The following table
gives the total U.S. outstanding consumer credit (in billions of
dollars). Source: Federal Reserve.
Consumer
Consumer
Year
Credit
Year
Credit
2004
2219.5
2009
2553.5
2005
2319.8
2010
2648.1
2006
2415.0
2011
2757.0
2007
2551.9
2012
2924.3
2008
2592.1
2013
3099.2
(a) Find an equation for the least squares line, letting x equal
the number of years since 2000.
(b) Based on your answer to part (a), at approximately what
rate is consumer credit growing per year?
(c) Use your result from part (a) to predict the amount of con-
sumer credit in 2015.
Transcribed Image Text:Consumer Credit The total amount of consumer credit has been increasing steadily in recent years. The following table gives the total U.S. outstanding consumer credit (in billions of dollars). Source: Federal Reserve. Consumer Consumer Year Credit Year Credit 2004 2219.5 2009 2553.5 2005 2319.8 2010 2648.1 2006 2415.0 2011 2757.0 2007 2551.9 2012 2924.3 2008 2592.1 2013 3099.2 (a) Find an equation for the least squares line, letting x equal the number of years since 2000. (b) Based on your answer to part (a), at approximately what rate is consumer credit growing per year? (c) Use your result from part (a) to predict the amount of con- sumer credit in 2015.
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