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Suppose you owe $1,000 on your credit card. The annual percentage rate (APR) is 24%, compounded monthly. The credit card company says your minimum monthly
Suppose you owe $1,000 on your credit card. The annual percentage rate (APR) is 24%, compounded monthly. The credit card company says your minimum monthly payment is $22.39. a. If you make only this minimum payment, how long will it take for you to repay the $1,000 balance (assuming no more charges are made)? b. If you make the minimum payment plus $9.07 extra each month (for a total of $31.46), how long will it take to repay the $1,000 balance? c. Compare the total interest paid in Part (a) with the total interest paid in Part (b)
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