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3) Carlos and Rosa applied for the same credit card from the same bank. The bank checked both of their FICO scores. Carlos had an excellent Credit rating and Rosa had a poor credit rating. a. Carlos was given an APR of 10% while Rosa got a 18%. What are their monthly percentage rate? (Round to the nearest hundredth of a percent) b. If they both had an average daily balance of $1000 for a specific month, and had to pay a finance charge, who would pay more and by how much?

3) Carlos and Rosa applied for the same credit card from the same bank. The bank checked both of their FICO scores. Carlos had an excellent Credit rating and Rosa had a poor credit rating. a. Carlos was given an APR of 10% while Rosa got a 18%. What are their monthly percentage rate? (Round to the nearest hundredth of a percent) b. If they both had an average daily balance of $1000 for a specific month, and had to pay a finance charge, who would pay more and by how much?

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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3) Carlos and Rosa applied for the same credit card from the same bank. The bank checked both of their FICO scores. Carlos had an excellent Credit rating and Rosa had a poor credit rating. a. Carlos was given an APR of 10% while Rosa got a 18%. What are their monthly percentage rate? (Round to the nearest hundredth of a percent) b. If they both had an average daily balance of $1000 for a specific month, and had to pay a finance charge, who would pay more and by how much?
Transcribed Image Text:3) Carlos and Rosa applied for the same credit card from the same bank. The bank checked both of their FICO scores. Carlos had an excellent Credit rating and Rosa had a poor credit rating. a. Carlos was given an APR of 10% while Rosa got a 18%. What are their monthly percentage rate? (Round to the nearest hundredth of a percent) b. If they both had an average daily balance of $1000 for a specific month, and had to pay a finance charge, who would pay more and by how much?
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