Allison accumulated $7,000 in credit card debt. If the interest rate is 15% per year and she does not make any payments for 3 years, how much will she owe on this debt in 3 years for quarterly compounding? Round your answer to two decimal places.

Guest Jul 25, 2020

#1**+1 **

3 years is 12 quarters

interest per quarter = 15%/4 = .15/4 = .0375

FV = Future Value = 7000 (1+.0375)^{12} = $ ............

ElectricPavlov Jul 25, 2020