Question

Jarius needs to pay down his credit card which he has accrued $21,500 of debt on...

Jarius needs to pay down his credit card which he has accrued $21,500 of debt on at an APR of 19.99%. Calculate his first 5 payments if he plans on paying 4% of his total balance each month.

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Interest for the month = Outstanding principal x 19.99% / 12

Repayment = 4% of 21500 each month.

Therefore the 5 installments will be as shown in the table above = 1218.15, 1203.83, 1189.50, 1175.18, 1160.85

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Joey realizes that he has charged too much on his credit card and has racked up...
Joey realizes that he has charged too much on his credit card and has racked up $6,000 in debt. If he can pay $400 each month and the card charges 22 percent APR (compounded monthly), how long will it take him to pay off the debt assuming no new purchases are made on the card? (Show answers in months)
Joey realizes that he has charged too much on his credit card and has racked up...
Joey realizes that he has charged too much on his credit card and has racked up $5,600 in debt. If he can pay $150 each month and the card charges 12 percent APR (compounded monthly), how long will it take him to pay off the debt? (Do not round intermediate calculations and round your final answer to 2 decimal places.)
Donald's accountant told him that if he continues to pay $55 a month on his credit...
Donald's accountant told him that if he continues to pay $55 a month on his credit card, it will take him 41 years to pay off his current balance (assuming his interest rate doesn't change and assuming he doesn't charge anything else on that card). His credit card interest rate is 18.55%. What is his current credit card balance?
Emilio’s accountant told him that if he continues to pay $50 a month on his credit...
Emilio’s accountant told him that if he continues to pay $50 a month on his credit card, it will take him 42 years to pay off his current balance (assuming the interest rate doesn’t change, and assuming he doesn’t charge anything else on that card). His credit card interest rate is 18.99% What is his balance?
You are offered two credit cards. The first is a credit card (CARD A) that has...
You are offered two credit cards. The first is a credit card (CARD A) that has an APR of 24.99%. You are also offered a card (CARD B) that has 11.99% interest, but charges $109 annually. You plan to carry a balance forward of about $350 each month. Which card that was offered is a better card? Show work.
Thomas has four credit cards, and he has ended up charging more than he could pay...
Thomas has four credit cards, and he has ended up charging more than he could pay for. Now he carries a total of $9,000 balance on his credit cards that charges an average of 21.99% APR (daily compounding). He is now considering opening a new one that promises zero percent introductory interest rate for a year on balance transfers and then 23.99% APR thereafter. If he does, however, there will be a one-time fee of 4% of the transferred amount....
You spent $2,013 on Christmas gifts and put the purchases on your credit card. Your credit...
You spent $2,013 on Christmas gifts and put the purchases on your credit card. Your credit card has a 14.57% APR compounded monthly. If you want to pay off your credit card balance in 24 months, the first payment next month, how big are the monthly payments? Calculate your answer to two decimal places (e.g. 55.93)
You spent $2,588 on Christmas gifts and put the purchases on your credit card. Your credit...
You spent $2,588 on Christmas gifts and put the purchases on your credit card. Your credit card has a 16.84% APR compounded monthly. If you want to pay off your credit card balance in 15 months, the first payment next month, how big are the monthly payments? Calculate your answer to two decimal places (e.g. 55.93)
you have a credit card debt of $5,000. How much should you pay each month to...
you have a credit card debt of $5,000. How much should you pay each month to pay off if your credit card carries an interest rate of 20.05% and you want to pay off the debt with equal monthly payments in two years and six months? A. $129.73 B. $210.56 C. $213.27 D. None of above
last National Bank is sending alumni of universities applications to obtain a credit card with the...
last National Bank is sending alumni of universities applications to obtain a credit card with the name of their university written on it. They state the APR will be 9.9% and the interest will apply to the outstanding debt if not paid by the due date each month. Thus, interest is compounded monthly. However, if you fail to make the minimum payment in any month, your interest rate could increase (without notice) to an APR of 19.99%. Calculate the effective...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT