Question: On October 2 5 , you plan to purchase a $ 1 , 5 0 0 computer by using one of your two credit cards.
On October you plan to purchase a $ computer by using one of your two credit cards. The Silver Card charges interest and calculates interest based on the balance on the first day of the previous month. The Gold Card charges interest and calculates interest based on the average daily balance. Both cards have a $ balance as of October The closing date is the end of the month for each card.
Your plan is to make a $ payment in November, make a $ payment in December, and pay off the remaining balance in January. All your payments will be received and posted on the th of each month. No other charges will be made on the account. Round your answers to the nearest cent.
a
Based on this information, calculate the interest in $ charged by each card for this purchase.
Silver Card $
Gold Card $
b
Which card is the better deal and by how much in $
The Select is the better deal by $
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