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Interest [LO3] You receive a credit card application from Shady Banks plc offering an introductory rate of 1.90 per cent per year, compounded monthly for

Interest [LO3] You receive a credit card application from Shady Banks plc offering an introductory rate of 1.90 per cent per year, compounded monthly for the first six months, increasing thereafter to 16 per cent per year compounded monthly. Assuming you transfer the 4,000 balance from your existing credit card and make no subsequent payments, how much interest will you owe at the end of the first year?

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