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The following table shows the expenses and payments for 2 months on a credit card account with an initial balance of $781. Assume that the

The following table shows the expenses and payments for 2 months on a credit card account with an initial balance of $781. Assume that the interest rate is 1% per month (12% APR) and that the interest for a given month is charged on the balance from the previous month.

This means the amount owed in interest each month is the output of a function, f(x), that uses the input of the previous month's balance, x.

f(x)=0.01x

The new month's balance is the output of a function, g(x,p,e,a)g(x,p,e,a), that use the following inputs:

  • xx, the previous month's balance
  • pp, the payment
  • ee, the expenses charged on credit for the month
  • aa, the amount owed in interest

g(x,p,e,a)=xp+e+a

Use the two functions to fill in the table below. For each question, round to the nearest penny and don't use commas or dollar signs.

Month Payment Expenses Interest Balance
0 - - - $781
1 $183 $179 $____________ $____________
2 $112 $25 $____________ $____________

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