The table below shows the expenses and payments for 8 months on a credit card account with an initial balance of $400. Assume that the interest rate is 1.0% per month (12% APR) and that interest for a given month is charged on the balance for the previous month. Complete the table. After 8 months, what is the balance on the credit card? E Click the icon to view the table of expenses and payments. - X Complete the table below. (Round to the nearest cent as needed) Month Payment | Expenses | Interest Balance Table of expenses and payments $400 $4.00 $204.00 1 $400 $200 Month Payment Expenses Interest Balance $400 $200 1.0% x $400 204.00 $225 $225 $400 = $4.00 $225 $360 $400 $225 $350 $350 $60 $80 $200 $70 3 4. 5 $100 $225 $110 6 Print Done

The table below shows the expenses and payments for 8 months on a credit card account with an initial balance of $400. Assume that the interest rate is 1.0% per month (12% APR) and that interest for a given month is charged on the balance for the previous month. Complete the table. After 8 months, what is the balance on the credit card? E Click the icon to view the table of expenses and payments. - X Complete the table below. (Round to the nearest cent as needed) Month Payment | Expenses | Interest Balance Table of expenses and payments $400 $4.00 $204.00 1 $400 $200 Month Payment Expenses Interest Balance $400 $200 1.0% x $400 204.00 $225 $225 $400 = $4.00 $225 $360 $400 $225 $350 $350 $60 $80 $200 $70 3 4. 5 $100 $225 $110 6 Print Done

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Assume that you start with a balance of $610 on your credit card.During the first month you charge $180 and make a payment of $400. During the second month you charge $100 and make a payment of $280. Assume that your credit card charges a 24% APR. Complete the following take table. Round your answer to the nearest cent. Table 1 month- Previous balance- Finance charge- Purchase- Payments- New balance 2 month- Previous balance- Finance charge- Purchase- Payments- New balance You have a credit card with an APR of 28%. The minimum amount payment is 12% of the balance. Suppose you have a balance of $1050. You decide to stop charging and make only the minimum payment. Complete the table. Round your answers to the nearest cent Table 1 month- Previous balance- Finance charge- Purchase- Payments- New balance 2 month- Previous balance- Finance charge- Purchase- Payments- New balance
Suppose you open a credit card and charge $125 to the account on the first of each month...
Suppose your MasterCard calculates interest using the average daily balance method, and the monthly interest rate is 1.9%. The itemized billing for the month of August is shown below The average daily balance has already been computed and is $2739.52. (a) Find the interest due for this month. $ (b) Find the total balance owed on the last day of the billing period. $ (c) This credit card requires a $15 minimum payment or 1/24 of the amount due, whichever is higher. What is the minimum monthly payment due for this month? $
Find the average daily balance for the credit card with the following transactions. Assume one month between billing dates using the proper number of days in the month. Then find the finance charge if interest is 1.5% per month on the average dally balance. Finally, find the new balance. Previous Balance: $556.32 Billing date: July 9 July 15, Return, $114.45 July 17, Purchase, $98.12 July 25, Purchase, $76.12 August 7, Payment, $110 What is the average daily balance? What is the finance charge? What is the new balance?
Use the average daily balance method to compute the finance charge on the credit card account for the month of August (31 days). The starting balance from the previous month is $320. The transactions on the account for the month are given in the table to the right. Assume an annual interest rate of 25% on the account and that the billing date is August 1st.
Use the average daily balance method to compute the finance charge on the credit card account for the month of August (31 days). The starting balance from the previous month is $290. The transactions on the account for the month are given in the table to the right. Assume an annual interest rate of 21% on the account and that the billing date is August 1st. (see image for table.) The finance charge for the month of August is $___
The following table shows the expenses and payments on a credit card for 3 months, starting with an initial balance of $700. Use the table as a guide to help you find the balance at the end of the third month, to the nearest dollar. Assume that the APR for the credit card is 30% (billed at a rate of 2.5% per month), and that the interest for a given month is based on the balance for the previous month. Month 0 1 2 3 Payment $550 $250 $400 Expense's - $720 $610 $380 Interest Balance $700 СС Ad ot 4
You have an account with a $1000 credit limit that charges 12.25% interest using the average daily balance method. Assuming a 30 day month, you start with a balance of $200 on Day 1. On Day 5, you charge $50 and you pay $150 on Day 15. What is your average daily balance, assuming charges and payments begin the next day? Round your answer to 2 decimal places.
Use the average daily balance method to compute the finance charge on the credit card account for the month of august (31 days). The starting balance from the previous month is $240. The transactions on the account for the month are given in the table. Assume an annual interest rate 17% on the account and that the billing date is august 1. 8/5 payment of $89 8/12 charged $130 8/16 charged $27 8/25 charged $26 what is finance charge of august
Assume you have a balance of $1200 on a credit card with an APR of 24%, or 2% per month. You start making monthly payments of $200, but at the same time you charge an additional $70 per month to the credit card. Assume that interest for a given month is based on the balance for the previous month. The following table shows how you can calculate your monthly balance. Complete and extend the table to show the balance at the end of each month until the debt is paid off. How long does it take to pay off the credit card debt? Fill out the table row by row, and continue until the last full payment. (Round to the nearest cent as needed.) Month Payment Expenses Interest New Balance $1200 1 $200 $70 0.02 x $1200 = $24.00 $1200 - $200 + $70 + $24.00 = $1094.00 $200 $70
Use the unpaid balance method to find the finance charge on the credit card account for August. The starting balance from the previous month is $240. The transactions on the account for the month are given in the table to the right. Assume an annual interest rate of 21% on the account and that the billing date is August 1st.
A particular credit card calculates interest using the unpaid balance method. The monthly interest rate is 1.57% on the unpaid balance on the first day of the billing period minus any payment. At the beginning of the month you owed $1352. You made a payment of $300. a) Find the interest I=prt (this time t is for one month)

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