Erica Tomlinson's credit card company determines her minimum monthly payment by adding all new interest to 2% of the outstanding principal. The credit card company charges an interest rate of 0.045% per day. On October 15, Erica uses her credit card to purchase a custom set of wheels and tires for her car for $2,400. She makes no other purchases during October. Assuming Erica had no new interest, determine Erica's minimum payment due on November 1, her billing date. O A. $48 O B. $50 O C. $66 O D. $65
Erica Tomlinson's credit card company determines her minimum monthly payment by adding all new interest to 2% of the outstanding principal. The credit card company charges an interest rate of 0.045% per day. On October 15, Erica uses her credit card to purchase a custom set of wheels and tires for her car for $2,400. She makes no other purchases during October. Assuming Erica had no new interest, determine Erica's minimum payment due on November 1, her billing date. O A. $48 O B. $50 O C. $66 O D. $65
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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Transcribed Image Text:Erica Tomlinson's credit card company determines her minimum monthly payment by adding all new interest to 2% of the outstanding principal. The credit card company charges an
interest rate of 0.045% per day. On October 15, Erica uses her credit card to purchase a custom set of wheels and tires for her car for $2,400. She makes no other purchases during
October. Assuming Erica had no new interest, determine Erica's minimum payment due on November 1, her billing date.
O A. $48
O B. $50
OC. $66
O D. $65
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