Question
In: Finance
The annual interest rate on a credit card is 14.99%. If a payment of $300.00 is...
The annual interest rate on a credit card is 14.99%. If a payment of $300.00 is made each month,how many months will it take to pay off an unpaid balance of $2,508.59? Assume that no new purchases are made with the credit card
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Expert Solution
Monthly interest rate, r = 14.99%/12 = 1.2491666667%
I/Y = 1.2491666667
PMT = -300
PV = 2508.59
FV = 0
CPT N
N = 8.88675071 months
It takes almost 9 months to pay off the balance
jeff jeffy answered 2 years agoRelated Solutions
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