Question
LOAN AMORTIZATION. Answer the following questions and show your solutions. 1. Suppose that the balance of a certain credit card is 43,744.53. The credit card
LOAN AMORTIZATION. Answer the following questions and show your solutions.
1. Suppose that the balance of a certain credit card is 43,744.53. The credit card company charges 3.5% per month. How much is the total balance owed to the credit card company?
2. A buyer purchased an item worth 10,000 with no down payment at 0.85% per month for 24 months. What is the monthly payment? How much is the finance charge?
3. A credit card holder purchased an item 6,000 on credit with a monthly interest rate 3% and 5% minimum monthly payment rate. After 6 months, how much is the remaining balance?
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Intermediate Accounting Volume 2
Authors: Thomas H. Beechy
5th Edition
0071091319, 978-0071091312
