Answer:
The scenario is more accurately represented by the exponential model since the linear model suggests that the repayment amount could turn negative.
Step-by-step explanation:
There is a table with two columns and five rows. The first column is labeled months, with entries 6, 12, 18, 24, 30. The second column, which denotes the repayment amount (in dollars), contains the entries 2,700; 2,110; 1,110; 870; 220.
The remaining balance owed changes inconsistently after every six months.
This indicates that the regression cannot be linear, but is instead modeled by an exponential curve.
Consequently, the exponential model better represents the situation because the linear model indicates that the repayment amount will eventually be negative. (Answer)
