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Use the Excel spreadsheet with pre-loaded formulas. The fihance charge, new balance, and carry-over balance (the balance at the beginning of a new month) are

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Use the Excel spreadsheet with pre-loaded formulas. The fihance charge, new balance, and carry-over balance (the balance at the beginning of a new month) are all calculated for you with pre-loaded formulas. You will need to enter the beginning balance and then calculate the monthly payment. Use the autofill feature to answer the questions below. Part 1 1. Start with a beginning balance of $5,000. 2. The interest rate is set at 18.99% and the finance charge is calculated for you. Remember, if this is a new credit card or a new charge, there is no finance charge in the first month as that is generally a grace period. Finance charges will begin in month 2 when there is a carry-over balance on the credit card. 3. Use a monthly payment of $350 for the life of the credit card loan. Use the autofill feature. 4. How many months until the credit card is paid off? How much is the final payment? Part 2 1. Start with the same beginning balance of $5,000. 2. Use a monthly payment of 10% of your new balance. (In Excel, use the formula:=0.10*D2 in cell E2) Use the Excel spreadsheet with pre-loaded formulas. The fihance charge, new balance, and carry-over balance (the balance at the beginning of a new month) are all calculated for you with pre-loaded formulas. You will need to enter the beginning balance and then calculate the monthly payment. Use the autofill feature to answer the questions below. Part 1 1. Start with a beginning balance of $5,000. 2. The interest rate is set at 18.99% and the finance charge is calculated for you. Remember, if this is a new credit card or a new charge, there is no finance charge in the first month as that is generally a grace period. Finance charges will begin in month 2 when there is a carry-over balance on the credit card. 3. Use a monthly payment of $350 for the life of the credit card loan. Use the autofill feature. 4. How many months until the credit card is paid off? How much is the final payment? Part 2 1. Start with the same beginning balance of $5,000. 2. Use a monthly payment of 10% of your new balance. (In Excel, use the formula:=0.10*D2 in cell E2)

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