Many financial situations can be modeled with one-variable equations and there are a handful of contexts in the problems shared below to explore these concepts. Sharing the bill at restaurant, looking at the change in a savings or checking account based on deposits and bill payments, payment models for different kinds of service, all of them familiar and accessible to students of Algebra and useful in everyday life. Thinking about these situations is useful for students as they start to think about how to model their different options in financial scenarios.
Highlighted Problem: Susita’s Savings Account
At the beginning of January, Susita had some money in her savings account.
Each month she was able to deposit enough from her allowance to double the amount currently in the account. However, she had a loan to pay off, requiring her to withdraw $10 from the account monthly.
At the end of May, she had $2 left in the account.
This is a great problem in terms of thinking about how bank accounts really function, we’re not just putting money in all the time! It’s a useful early step in thinking and learning about budgeting, true costs of living and the reality of everyday life for adults.If you have not already created a free account, you'll need to do so to access the Financial Education Problems of the Week.