Question

PLS HELP!!! MEDAL IS REWARDED
With compound interest, explain how to determine what percentage of interest you are paying each month if your loan is 9% compounded monthly?

Answer 1

it says so in the question

Answer 2

I think it is 9/12% or 3/4% interest per month.

Answer 3

The 9% stated in the problem is 9% interest per year. Since the interest rate is compounded monthly, we have to divide the annual interest rate by 12 to get the monthly interest rate as there are 12 months in a year.

Answer 4

but why is 12% in the denominator
i thought it would be 9%/12 then

Answer 5

9 is divided by 12 to get the monthly interest rate. The percent symbol is outside. It is (9/12)% or (3/4)% or 0.75%

Answer 6

The percent symbol is NOT in the denominator. It is 9/12 and the % symbol is outside.

Answer 7

okay thnx a lot so .75% is the final ans?

Answer 8

Yes. But if they may wanted the answer in fraction, it is 3/4 %

Answer 9

okay i get it. thnx

Answer 10

yw.

Answer 11

? wat is yw

Answer 12

You are welcome.

Answer 13

lol yeah

Answer 14

:)