document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1065903>Question 1065903</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Hi, I am having trouble with this problem, I would appreciate it if you could help me with the question:<BR>\n" );
document.write( "A certain department store requires its credit card customer to pay interest on unpaid bills at the rate of 18% per year compounded monthly. I f a customer buys a television set for $500 on credit and makes no payments for one year, how much is owed at the end of the year? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #681078 by </B><A HREF=/tutors/aboutme.mpl?userid=KMST><B>KMST(5328)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=KMST><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=KMST><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=681078\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> A percentage is a ratio,<BR>\n" );
document.write( "and it can often be seen as a fraction, with <IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=100 ALIGN=MIDDLE  ALT=\"100\"   DISABLED_style= \"max-width:90%; height:auto;\" > for denominator,<BR>\n" );
document.write( "or as a decimal:<BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=%2218%25%22=18%2F100=0.18 ALIGN=MIDDLE  ALT=\"%2218%25%22=18%2F100=0.18\"   DISABLED_style= \"max-width:90%; height:auto;\" > .<BR>\n" );
document.write( "The monthly interest rate, as a decimal, would be<BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=0.18%2F100=0.03 ALIGN=MIDDLE  ALT=\"0.18%2F100=0.03\"   DISABLED_style= \"max-width:90%; height:auto;\" ><BR>\n" );
document.write( "The interest each month would be<BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=0.03%2Abalance ALIGN=MIDDLE  ALT=\"0.03%2Abalance\"   DISABLED_style= \"max-width:90%; height:auto;\" > .<BR>\n" );
document.write( "If a month starts with a certain <IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=balance ALIGN=MIDDLE  ALT=\"balance\"   DISABLED_style= \"max-width:90%; height:auto;\" > ,<BR>\n" );
document.write( "at the end of the month, the balance will be<BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=balance%2B0.03%2Abalance=%281%2B0.03%29balance=1.03%2Abalance ALIGN=MIDDLE  ALT=\"balance%2B0.03%2Abalance=%281%2B0.03%29balance=1.03%2Abalance\"   DISABLED_style= \"max-width:90%; height:auto;\" > .<BR>\n" );
document.write( "Then, at the end of the next month,<BR>\n" );
document.write( "that new balance would be multiplied times <IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=1.03 ALIGN=MIDDLE  ALT=\"1.03\"   DISABLED_style= \"max-width:90%; height:auto;\" > again to get<BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=1.03%2A%281.03%2Abalance%29=1.03%2A1.03%2Abalance=1.03%5E2%2Abalance ALIGN=MIDDLE  ALT=\"1.03%2A%281.03%2Abalance%29=1.03%2A1.03%2Abalance=1.03%5E2%2Abalance\"   DISABLED_style= \"max-width:90%; height:auto;\" > .<BR>\n" );
document.write( "After <IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=3 ALIGN=MIDDLE  ALT=\"3\"   DISABLED_style= \"max-width:90%; height:auto;\" > months, the new balance would be <IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=1.03%5E3%2Abalance ALIGN=MIDDLE  ALT=\"1.03%5E3%2Abalance\"   DISABLED_style= \"max-width:90%; height:auto;\" > , and so on.<BR>\n" );
document.write( "Starting with $500 balance,<BR>\n" );
document.write( "after <IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=12 ALIGN=MIDDLE  ALT=\"12\"   DISABLED_style= \"max-width:90%; height:auto;\" > months the balance would be<BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=1.03%5E12%2A%22%24500%22=1.425760886846178944541505%2A%22%24500%22=highlight%28%22%24712.88%22%29 ALIGN=MIDDLE   DISABLED_style= \"max-width:90%; height:auto;\" > .<BR>\n" );
document.write( "(The exact result is <IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=712.8804434230894722707525 ALIGN=MIDDLE  ALT=\"712.8804434230894722707525\"   DISABLED_style= \"max-width:90%; height:auto;\" > ,<BR>\n" );
document.write( "but I expect the store to round fairly to $712.88). </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );