jess had a balance of 1200 on a credit card with an 18.7% compound monthly.ABOUT HOW MUCH WILL HE SAVE IN ITEREST OVER THE COURSE OF A YEAR IF HE TRANSFER HIS BALANCE TO A CREDIT CARD WITH A 12.5% COMPOUND MONTHLY.

Question

hakunamatata34 · Answer

I can help

anonymous · Answer

ok,

hakunamatata34 · Answer

ok when you divide 1200/18.7% you get $64.17 and when you divide 1200/ %12.5 you get $96.

hakunamatata34 · Answer

am i wrong ?? Because that doesnt sound right to me??

amistre64 · Answer

how do we calculate for interest to start with?

hakunamatata34 · Answer

don't we divide 1200/18.7 or am I wrong??

amistre64 · Answer

we are compounding monthly

anonymous · Answer

that's what I'm thinking

amistre64 · Answer

I = P-P(1+r/12)^12

hakunamatata34 · Answer

I'm in 9th grade I don't think i got to compound yet

amistre64 · Answer

might have the terms backwards ...

I1 = P(1+r1/12)^12 - P
I2 = P(1+r2/12)^12 - P

I1-I2

P(1+r1/12)^12 -P(1+r2/12)^12

P [(1+r1/12)^12 -(1+r2/12)^12]

anonymous · Answer

What is that?

amistre64 · Answer

the interest calculations ...

amistre64 · Answer

how do you calculate the interest compounding?

anonymous · Answer

can you show me the calculations because I don't know.

amistre64 · Answer

the compound formula should be in your materials ... what is the formula for compounding interest?

anonymous · Answer

this so over my head lol