Assume that you have a balance of $5500 on your Discover credit card and that you make no more charges. Assume that Discover charges 30% APR and that each month you make only the minimum payment of 3% of the balance. What will the balance be after 8 years? (Round your answer to the nearest cent.)

Assume that you have a balance of $5500 on your Discover credit card and that you make no more charges. Assume that Discover charges 30% APR and that each month you make only the minimum payment of 3% of the balance. What will the balance be after 8 years? (Round your answer to the nearest cent.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Assume that you have a balance of $5500 on your Discover credit card
and that you make no more charges. Assume that Discover charges
30% APR and that each month you make only the minimum payment
of 3% of the balance.
What will the balance be after 8 years? (Round your answer to the
nearest cent.)

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