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SOURCE: SMARTMONEY MAGAZINE AUG 2012, PG58 “GREEN ENERGY”

A) Green Energy Naturalgas Group is a company for clean, safe and green environment energy supplier. Ann Minnium, a financial planner in Scotch Plains, N.J, conducted this line chart. It represents the total assets held in Green-Energy mutual funds since 2005.

As we can see, there is an increase in the amount of assets from 2005 to 2006, and an even more significant rise from 2006 to 2007, because of the many small projects they worked on. However, things got bad for them from 2008 to 2009, due to the falling demand and competition from companies that make cheaper gear. The assets went up in 2008 to 2009, as they supplied water to “fracking” enterprises. Unfortunately, the alternative-energy mutual funds have fallen by two-third since 2009, as government problems have begun to erode or threaten tax breaks. Also, the tariff war between the U.S. and China could drive up the price of solar panels. The stock fell to an all-time low in 2011. They have been maintaining a stable condition ever since. They are becoming more efficient and producing their equipment more cheaply, so they can better compete with fossil fuels. Plus, they plan to move their operations away from smaller projects and focus on building major power installations for utilities.
This is an example of a function, described graphically. Functions arise whenever one quantity depends on another. It is considered a function because for each year, there is a corresponding amount of assets. In brief, we can say that the amount of assets is a function of time.

B) The independent variable (domain) of the graph is period of time (per year), because its values are freely chosen regardless of the values of any other variable, or in this case, the amount of assets.
The dependent variable (range) of the graph is the amount of assets, because each of their values arises from one independent variable, or in this case, the year.

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