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Car Insurance. Rates A rate is a ratio used to compare different kinds of measurements. Car Insurance Ex: Jeep Wrangler - $1200 a year Ex: Porsche Cayman-

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Presentation on theme: "Car Insurance. Rates A rate is a ratio used to compare different kinds of measurements. Car Insurance Ex: Jeep Wrangler - $1200 a year Ex: Porsche Cayman-"— Presentation transcript:

1 Car Insurance

2 Rates A rate is a ratio used to compare different kinds of measurements. Car Insurance Ex: Jeep Wrangler - $1200 a year Ex: Porsche Cayman- $3600 a year

3 Unit rate A unit rate is a rate with a denominator of 1. Car Insurance Ex: Jeep Wrangler $100 a month Ex: Porsche Cayman $300 a month

4 Percent Change Percent changes are useful to help people understand changes in a value over time. The car value depreciates 15% each year. The Jeep Wrangler

5 Percent Change The car value depreciates 30% each year. Porsche Cayman

6 Point to point The data is decreasing at a decreasing rate Jeep Wrangler

7 Point to point The data is decreasing at a decreasing rate Porsche Cayman

8 Average rate of change Jeep Wrangler The average rate of change is the constant rate of change that an object would have to travel in order to travel the same “distance” over the same interval of “time” as the original objects. The AROC is $20,000.00-$10,476.25 1-5 $9,523.75 -4 $2,380.94 On average, it decreases $2,380.94 per year.

9 Average rate of change for the Porsche Cayman The AROC is $100,000-$24,010.00 1-5 $75,990 -4 $18,997.50 On average, the value decreases $18,997.50 per year.

10 Dependent/Independent Independent variables are the cause and the dependent variables are the effect. Jeep Wrangler: The cost of your car insurance depends on how good of a driver you are. Dependent Variable: The cost of your car insurance. Independent Variable: How good of a driver you are. Porsche Cayman: The cost of your car insurance depends on your age. Dependent variable: The cost of your car insurance. Independent variable: Your age.

11 Domain and Range - Jeep Wrangler Domain is the set of x-values and the range is the set of y- values. The domain is { 1,2,3,4,5} The range is { $10,476.25, $12,325.00, $14,500.00, $17,000.00, $20,000.00}

12 Domain and Range for the Porsche Cayman The domain is { 1,2,3,4,5} The range is { $24,010.00,$34,300.00,$4 9,000.00,$70,000.00,$10 0,000.00}

13 Graph Sketch

14 Bibliography! http://www.robertniles.com/stats/percent.shtml


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