Question: please help me solve it 1. You keep a minimum balance of $2500 in your bank account at all times to avoid the monthly service
1. You keep a minimum balance of $2500 in your bank account at all times to avoid the monthly service charges of \$14.95. Last month you only made the minimum payment on your credit card, leaving a balance owing of $1105.36. a) Your credit card charges 28% interest, so how much interest will it charge on the balance of $1105.36 over a one-month period? b) If your bank account pays 1.45% interest per year, how much interest will you earn on a balance of $1105.36 ? c) How much would you save by paying off the credit card with the money in your bank account? (Don't forget to consider the service charges on the account.)
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