CPM Homework Help : INT1 Problem 8-119

Over a four-month period the price of an ounce of gold increased exponentially from $ $1000$ to $ $1400$ . What was the monthly multiplier? What was the monthly percent increase? Write an equation that models this situation.

Hint:

First, ask yourself these questions: What was the initial cost of an ounce of gold? The new price?
How long did it take for the gold to reach the new price?

More help:

If m is the monthly multiplier, then $1000(m)(m)(m)(m) = 1400$ .

Answer:

The monthly multiplier is $1.088$ , and the monthly percent increase is $8.8$ %.