Hello...Help please...

[momoftwo]

My daughter and her friend are planing to get into a small hotel business. That are asked to write a business plan and they are doing that. Only, they are getting two different values for their calculations, and I can't find their mistakes...

They have to forecast the income from the hotel rooms. There is no problem with the forecasting but with the calculations. These are the questions:

1.) If one month an amount of $ 900.00 collected, and there will be 10% increase every month,what will be the total in 12 months?
2.) ...............................$1020.00.........................................................................................................?

 

[mmm4444bot]

Hello Mom:

Is each month's collection (starting with the second month) 10% more than the previous month's collection?

In other words, do the following data accurately reflect what's happening in situation (1)?

    Month     Collection      Running Total
      1         900.00            900.00
      2         990.00           1890.00
      3        1089.00           2979.00
      4        1197.90           4176.90
      5        1317.69           5494.59
      6        1449.46           6944.05
      7        1594.40           8538.45
      8        1753.85          10292.30
      9        1929.23          12221.53
     10        2122.15          14343.68
     11        2334.37          16678.05
     12        2567.81          19245.86