document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=830772>Question 830772</A>: <I><SPAN STYLE=\"word-break: break-all;\"> monthly interest of 18% per annum on 50 dollars\r<BR>\n" );
document.write( "\n" );
document.write( " </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #500921 by </B><A HREF=/tutors/aboutme.mpl?userid=JulietG><B>JulietG(1812)</B></A><img src=\"/images/stars/stars-12.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=JulietG><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=JulietG><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=500921\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> Clarification is needed here.<BR>\n" );
document.write( "BUT, assuming it's simple interest, and they're just looking for a division problem...<BR>\n" );
document.write( ".<BR>\n" );
document.write( "$50 at 18% interest would be:<BR>\n" );
document.write( "$50 * .18 = $9<BR>\n" );
document.write( ".<BR>\n" );
document.write( "That's $9 per year.  12 months in a year.<BR>\n" );
document.write( "Divide 9 by 12 to get:<BR>\n" );
document.write( "9/12 = $0.75<BR>\n" );
document.write( ".<BR>\n" );
document.write( "It doesn't seem like a lot, but when it becomes compounded interest, it multiplies quickly.  (Compounded interest is interest on the interest -- that's how credit card companies make their money.  They compound the interest daily.) </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );