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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
Many college students have Visa credit cards that carry an interest rate of “simple 24% per year” (that is, 2% per month).When the balance on such a card is $5,000, the minimum payment is $110.25.
a)What is the amount of interest in the first payment?
b)How long will it take, in months, to pay off the balance, if the cardholder continues to make payments of $110.25 per month and adds no other charges to the card?
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