Credit cards are plastic cards issued by a bank or other business allowing the holder of...
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Credit cards are plastic cards issued by a bank or other business allowing the holder of the card to purchase goods and services without using cash, also called buying on credit. They allow you to purchase things that you may not currently have the money to buy. When you use a credit card, the credit company that issued the credit card pays the store. Later, you will get a bill in the mail from your credit card company for the amount you purchased. At that time, you can either pay the bill in full, or only pay a minimum amount, and wait till later to finish paying. If you wait till later, you will owe the credit card company interest on the amount that you do not pay. CREDIT Zachary's credit card company charges 24% a year interest, or 2% per month, for any unpaid amount. For the month, Zachary purchased $504.00 worth of goods and services. If each month Zachary does not pay the credit card bill in full, but instead just pays the monthly minimum charge of $56.00, finish filling in the following table to see how much money Zachary will end up paying. Round each calculation to the nearest penny. Previous Interest Date Balance Charge Balance plus Interest Your Payment Remaining Balance JAN 1 $504.00 $10.08 $514.08 $56.00 $458.08 What was the total interest paid? How much did the item now cost by using the credit card? S Credit cards are plastic cards issued by a bank or other business allowing the holder of the card to purchase goods and services without using cash, also called buying on credit. They allow you to purchase things that you may not currently have the money to buy. When you use a credit card, the credit company that issued the credit card pays the store. Later, you will get a bill in the mail from your credit card company for the amount you purchased. At that time, you can either pay the bill in full, or only pay a minimum amount, and wait till later to finish paying. If you wait till later, you will owe the credit card company interest on the amount that you do not pay. CREDIT Zachary's credit card company charges 24% a year interest, or 2% per month, for any unpaid amount. For the month, Zachary purchased $504.00 worth of goods and services. If each month Zachary does not pay the credit card bill in full, but instead just pays the monthly minimum charge of $56.00, finish filling in the following table to see how much money Zachary will end up paying. Round each calculation to the nearest penny. Previous Interest Date Balance Charge Balance plus Interest Your Payment Remaining Balance JAN 1 $504.00 $10.08 $514.08 $56.00 $458.08 What was the total interest paid? How much did the item now cost by using the credit card? S
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Answer To calculate the remaining balance and interest for each month we can use the following steps 1 Calculate the interest charged for the month by ... View the full answer
Related Book For
International Marketing And Export Management
ISBN: 9781292016924
8th Edition
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr
Posted Date:
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