I know the definition of a linear transformation, but I am not sure how to turn this word problem into a matrix to solve:
$T(x_1, x_2) = (x_1-4x_2, 2x_1+x_2, x_1+2x_2)$
Find the image of the line that passes through the origin and point $(1, -1)$.
The line passing through the origin and $(1, -1)$ is the set of points of the form $(t, -t)$ with $t\in\mathbb R$ (I suppose you are implicitly working over the reals). We compute $$T(t,-t)=(t-4t,2t+t,t+2t)=(-3t,3t,3t).$$ That describes the line in 3D space through the origin and $(3, -3, -3)$ (or equivalently one can use $(1, -1, -1)$ as second point)
HINT: A linear transformation sends straight lines to straight lines. If $T$ sends the origin and the point $\langle 1,-1\rangle$ to the points $P$ and $Q$, it must send the line through the origin and the point $\langle 1,-1\rangle$ to the line through $P$ and $Q$.