Question

You owe ​\$3629 on your credit card which has a 17.2​% APR. ​(a) How much interest do you get charged this month on your balance of ​\$3629​? ​(b) You make a payment of ​\$850. What is your new balance for the next​ month? ​(c) How many total months will it take you to pay off the debt if you continue to make ​\$850 payments each month​ (the last month you would pay just what you​ owe)? ​(a) The interest is ​\$ _______. ​(Round to the nearest cent as​ needed.) ​(b) The new balance for the next month is ​\$ _______. ​(Round to the nearest cent as​ needed.) ​(c) It would take _____ payments to pay off the debt.

It will take 5 months to pay off the balance. The total interest is \$144.05 and the next month debt value is 2831.01567

 Month Debt Value Payment Interest Payment Value excludes Int Balance of Debt 1 3629 850 52 797.9843333 2831.016 2 2831.01567 850 41 809.4221088 2021.594 3 2021.59356 850 29 821.0238257 1200.57 4 1200.56973 850 17 832.7918338 367.7779 5 367.777898 373 5 367.7778984 0 Total 3773.049 144.05 3,629.00

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