Question

The value of almost everything you own (assets), such as a car, computer, or house, depreciates (goes down) over time. When an asset’s value decreases by a fixed amount each year, the depreciation is called straight-line depreciation. . . . . . . Suppose your truck has an initial value of $12,400 and depreciates $820 per year. . . . . . . What two variables are involved in this problem? Which variable can best be designated as the dependent variable? As the independent variable?

Answer 1

The two variables present here would be the value of the car, and the time is depreciates for. Time is the independent variable, because it is not affected by the value of car. Since the value of the car is a function of the time, therefore, it is the dependent variable.

Answer 2

Usually we consider value to be the dependent variable, and age to be the independent one.

so the answer is C.  

Independent variable - number of years you own the truck;

Dependent variable - value of the truck.