You have a balance of $7500 on your credit card and you make no further charges. If your APR is 12.5% and each month you make only the minimum payment of 5% of your balance, what will be your balance after 24 months?

You have a balance of $7500 on your credit card and you make no further charges. If your APR is 12.5% and each month you make only the minimum payment of 5% of your balance, what will be your balance after 24 months?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 21MC: A customer takes out a loan of $130,000 on January 1, with a maturity date of 36 months, and an...

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Question

6) You have a balance of $7500 on your credit card and you make no further charges. If your APR is
12.5% and each month you make only the minimum payment of 5% of your balance, what will be
your balance after 24 months?
$1703.27
$3789.06
$3307.83
$2808.28

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