For a certain credit card, the total amount, A ,that a customer owes is given by the following formula. In the formula, P is the starting balance and n is the number of months of debt, assuming interest is compounded monthly. Suppose you begin with a credit card debt of $1000. After one year, you will owe $______ . (Round your answer to the nearest cent and enter only the number.)

How long will it take for the total amount owed to reach $1300?

*FORMULA* A = P (1.015)^n

Question

For a certain credit card, the total amount, A ,that a customer owes is given by the following formula. In the formula, P is the starting balance and n is the number of months of debt, assuming interest is compounded monthly. Suppose you begin with a credit card debt of $1000. After one year, you will owe $______ . (Round your answer to the nearest cent and enter only the number.)

How long will it take for the total amount owed to reach $1300?

*FORMULA* A = P (1.015)^n

jchick · Answer

1000*(1.015)^12