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Mathematics, 04.06.2020 20:03 Jasten
Sonja's credit card has an APR of 21%, calculated on the previous monthly
balance, and a minimum payment of 2%, starting the month after the first
purchase. Her credit card record for the last 7 months is shown in the table
below.
End of Previous New Payment
Finance Principal New
month balance charges received charges paid
balance
$0.00 $700.00 $0.00
$0.00
$0.00 $700.00
2
$700.00 $0.00
$14.00 $12.25 $1.75 $698.25
3
$698.25 $0.00 $13.97 $12.22 $1.75 $696.50
4
$696.50 $0.00 $13.93
$12.19 $1.74 $694.76
5 $694.76 $0.00 $13.90 $12.16
$1.74
$693.03
6
$693.03 $0.00 $13.86 $12.13
$1.73
$691.29
7
$691.29 $0.00 $13.83 $12.10 $1.73 $689.57
About what percentage of Sonja's payments so far have gone to paying
interest?
Answer is C. 87%
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Sonja's credit card has an APR of 21%, calculated on the previous monthly
balance, and a minimum pa...
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