Chapter 7, Problem 2BYOPFM

1.       If you are trying to build credit by using a credit card, each time you make a purchase with the credit card, deduct that amount from your checking account. That way, when your credit card bill is due, you will have enough to pay the credit card off in full. Lizzie is going to start doing this. She plans on paying her credit card bill in full this month. How much does she owe with a 6% APR and the following transactions? (Round your answer to the nearest cent.)   31-day billing cycle     10/1   Previous balance   $ 1,170      10/3   Credit    $ 73 cr.       10/12   Charge: King Soopers 154            10/15   Payment   370 cr.       10/25   Charge: Delta   327            10/30   Charge: Holiday Fun 67

You owe $2,000 on a credit card that charges 20% interest. You have $2,200 in your savings account that earns 1.69% interest. Your savings account charges $14.50 a month if you keep a balance of less than $1,500 a month. Compare the amount of interest for both to decide what you should do about paying the credit card bill. Consider all factors in the decision. Show your for any calculations you may completed. In a brief paragraph, justify your decision, including a description of all factors that would affect that decision.

If you are trying to build credit by using a credit card, each time you make a purchase with the credit card, deduct that amount from your checking account. That way, when your credit card bill is due, you will have enough to pay the credit card off in full. Kathy Lehner is going to start doing this. She plans on paying her credit card bill in full this month. How much does she owe with a 6% APR and the following transactions? (Round your answer to the nearest cent.)   31-day billing cycle 10/1 Previous balance       $ 1,173 10/3 Credit $ 70 cr.   10/12 Charge: King Soopers $ 157     10/15 Payment $ 400 cr.   10/25 Charge: Delta $ 330     10/30 Charge: Holiday Fun $ 70

there are some excellent free personal finance apps available: mint.com, goodbudget, mvelopes, billguard, pocketexpense, homebudget, and expensify. after using mint.com, you realize you need to pay off one of your high interest loans to reduce your interest expense. you decide to discount a $5,250, 345-day note at 3% to your bank at a discount rate of 4.5% on day 210. what are your proceeds? (round your answer to the nearest cent.) Proceeds: ??

Explain why there could be 4/5 different APR's listed for just one credit card. What are the different situations for these APR's? Explain how a credit card billing cycle works. What is a grace period, and when is the best time to make payments in your billing cycle?

4 Ken is a customer at Orange Grove Bank and frequently banks online. One day he receives an email with his banks logo on the top. The email states: You have been preapproved for a premium credit card, with an introductory rate of zero percent APR. The email then asks Ken to click on a link provided in the email to activate his card. Ken clicks on the link and is directed to a website where he is asked to provide personal financial information and his Social Security number. What law, or rule, applies to this situation?

You have two credit cards with the following balances: Card A Credit limit: $20,000 Current Balance: $2,000 Card B Credit limit $25,000 Current Balance $ 14,000 Assuming that both cards have been held by you for the same amount of time and you make regular payments on time. Which card is harming your credit more than the other one? Show your work and explain.

There are some excellent free personal finance apps available: Mint.com, GoodBudget, Mvelopes, BillGuard, PocketExpense, HomeBudget, and Expensify. After using Mint.com, you realize you need to pay off one of your high interest loans to reduce your interest expense. You decide to discount a $5,700, 325-day note at 4% to your bank at a discount rate of 4.5% on day 210. What are your proceeds? Note: Round your final answer to the nearest whole number.

Before borrowing a money. What are the important things to consider? Elaborate your answer. (essay type, atleast 7 sentences)