Long Life Insurance has developed a linear model that it uses to determine the amount of term life insurance

QUESTION:

Long-Life Insurance has developed a linear model that it uses to determine the amount of term life insurance a family of four should have, based on the current age of the head of the household. The equation is:

y = 850 y .1x

where

y = Insurance needed ($ 000)

x = Current age of head of household

a. Plot the relationship on a graph.

b. Use the equation to determine the amount of term life insurance to recommend for a family of four if the head of the household is 30 years old.


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