How much interest will you have to pay for a credit card balance of $757 that is 1 month overdue, if a 23% annual rate is charged? You will have to pay $ in interest. (Round to two decimal places.)

Q: How much would you need to deposit in an account now in order to have $5,000.00 in the account in 13…

A: Simple interest is an interest that is calculated on the initial investment.

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: We need to use previous balance method to calculate monthly finance charge. Finance Charge using…

Q: How long would you have to wait for a deposit of $1,625 to earn $34 in interest? Assume that the…

A: Interest = Principal * Rate * Time

Q: You have $480 to put into a savings account, and a bank offers you two options: Account A pays 3.1%…

A: Simple Interest is the method in which we calculate the interest on a specific principal amount at a…

Q: If you sign a discount note for $4,400 at a bank discount rate of 8%, for 90 days, what is the…

A: Effective annual rate is defined as the actual rate that is earned on the investment. It shows the…

Q: the apr on the card is 12%, and you are not going to use the cardinal paid in full. assume you owe…

A: Credit debt = $1,383 Interest Rate = 12% APR Monthly Payment = 140

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: In adjusted balance methods, payments made on transactions will be deducted from balance.Adjusted…

Q: a credit card charges 2.3% interest per month on the average daily balance if the unpaid balance is…

A: Interest expenses = Average balance * interest rate Balance due with interest = Unpaid Balance +…

Q: a) You have a bank account that earns 6.8% interest rate. How much must you deposit (prinicipal) in…

A: The Future Value is calculated with the help of following formula  Future Value = Principal Amount ×…

Q: For a S 1,314 deposit, a bank offers two choices: Account "A" pays interest at an APR of 8.3%.…

A: Variables in the question:Initial deposit =$1314Bank offers two choices:Account A pays interest at…

Q: Suppose that on Janu If y Calcule When What percentage The monthly payment is Do not round und the…

A: Monthly payment refers to an amount that is paid every month for the repayment of the loan amount…

Q: If your credit card calculates interest based on 16.75% APR, compounded quarterly: (a) What are your…

A: The yearly rate that incorporates the magnifying effect of many compounding periods each year of…

Q: You have a balance of $7500 on your credit card and you make no further charges. If your APR is…

A: Data given: Balance on credit card = $7500 APR=12.5% Minimum payment = 5% of balance t=24 months…

Q: If you’re average daily balance on your credit card in June is $1,200 and your APR is 18%, how much…

A: Here,AverageDaily Balance of Credit Card is $1,200APR is 18%Late Charges is $29

Q: If you buy a computer directly from the manufacturer for $2,815 and agree to repay it in 36 equal…

A: Present value = pv = $2815 Compound = monthly = 12 Number of payment = n = 36 Interest rate = r =…

Q: You get an offer for a credit card that charges 13.99% interest APR, compunded monthly. What…

A: Effective Annual Interest Rate: The actual return on a savings account or any other investment that…

Q: Suppose Jorge Otero has set up an annuity due with a certain credit union. At the beginning of each…

A: Compound = monthly = 12 Payment = p = $140 Interest rate = r = 6 / 12 = 0.5% Time = t = 15 months

Q: If you buy a computer directly from the manufacturer for $2,456 and agree to repay it in 36 equal…

A: a)Monthly Payment Monthly Payment = P * r * [(1+ r n] / [(1+r n) -1] where, P = Principal borrowed…

Q: Calculate the monthly finance charge for the credit card transaction. It takes 10 days for a payment…

A: We will calculate the interest on the basis of simple interest.

Q: What is the value (in $) of Jorge's account after 16 months? (Round your answer to the nearest…

A: Information Provided: payment made = $150 Term = 16 months Interest rate = 6% compounded monthly

Q: ou can earn .38 percent per month at your bank. If you deposit $2,100, how long must you wait until…

A: Future value of money is the amount that is deposited and amount of interest accumulated over the…

Q: If you buy a computer directly from the manufacturer for $2,417 and agree to repay it in 36 equal…

A: 1. Present value of annuity. PV = A * 1-(1+r)-nr where , PV = Present value of annuity. A = periodic…

Q: Assume that you have a balance of $3400 on your credit card and that you make no more charges.…

A: Credit Card is short-term credit facility provided to retail customers by financing entities that…

Q: You have 45 remaining monthly payments of $688 until you pay off your car loan with interest.…

A: In order to find the current balance of the loan today one has to find the Present value of the…

Q: How long would

A: Given information : Repayment amount  $      25.00 Interest rate 19% Loan amount  $2,000.00…

Q: Suppose your credit card issuer states that it charges a 17.00% nominal annual rate, but you must…

A: When the borrower borrows a loan from the lender, he has to pay a rate of interest on the borrowed…

Q: You want to withdraw $ 54,777 from your account at the end of one year and $ 10,521 at the end of…

A: As per the given information:Withdrawals at the end of the one year = $54,777Withdrawals at the end…

Q: me that you ave a balance of on your crea month you make only the minimum payment of 5% of the ha

A: The APR offers a uniform method for evaluating loans, enabling borrowers to assess the overall cost…

Q: Your credit card has a balance of $4100 and an annual interest rate of 15%. You decide to pay off…

A: Balance amount=$4100 Interest rate=15% Time period=3 years 3 years monthly payment=$142.13 3 years…

Q: You have a balance of $7500 on your credit card and you make no further charges. If your APR is…

A: Monthly rate = APR /12 = 12.5% / 12 = 1.041667%

Q: You owe $1,853.42 on a credit card with a limit of $3,000.00 at a rate of 15.5% APR. You pay…

A: Given : Owe $1,853.42 on a credit card with a limit of $3,000.00 at a rate of 15.5% APR. Pay…

Q: If you buy a computer directly from the manufacturer for $3,237 and agree to repay it in 48 equal…

A: a loan, payments made by the borrower are typically applied first to the interest owed, and then to…

Q: Suppose I have a balance of $4500 on my Bank of America credit card.  Assume the interest rate on my…

A: Payment is made monthly, hence it is a question of annuity. Annuity means number of payments which…

Q: Your credit card charges an APR of 29% on your balance. Interest is compounded on a daily basis, 365…

A: Given information: Annual rate : 29% (This rate would have to be converted on monthly basis…

Q: You have an account with a $1000 credit limit that charges 12.25% interest using the average daily…

A: In credit cards they are charged based on the daily balance and there is need of daily balance and…

Q: If you buy a computer directly from the manufacturer for $2,668 and agree to repay it in 48 equal…

A: Formula:- Present value of annuity. PV = A * 1 - (1+r)-nr where , PV = Present value of annuity. A…

Q: You have a credit card with an APR of 24%. The card requires a minimum monthly payment of 8% of the…

A: APR  Annual Percentage Rate):The APR is the annualized representation of the interest rate on a…

Effective Interest Rate

The term interest rate can be defined as the amount that is charged by the lender as a percentage on the principal amount. Interest rate which is charged annually is known as annual percentage rate.