Explanation:
Year 28
Explanation:
The trend line predicts what is the price y in year x, so, to answer the question, we need to replace y by $40 and solve for x. Then:
y = 0.753x + 18.867
40 = 0.753x + 18.867
Subtracting 18.867 from both sides:
40 - 18.867 = 0.753x + 18.867 - 180867
21.133 = 0.753x
Divide both sides by 0.753
21.133/0.753 = 0.753x/0.753
28.06 = x
So, after 28.06 years, the price will be 40$, therefore, the price will exceed $40 per share in year 28.
