Alexandra owes $875.45 on her charge account. The minimum payment due is $25.00. Alexandra’s monthly interest charge is 2.4% of the unpaid balance. How much will she owe next month if she makes no new purchases?
Mathematics · High School · Mon Jan 18 2021
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Answered on
Given :
Amount owed by Alexandra = $875.45
Minimum payment due = $25
Interest rate on unpaid balance = 2.4%
Unpaid balance = $875.45 - $25
= $850.45
Now, 2.4% of 850.45 = 850.45/100 × 2.4
= 20.4
So, total payable amount for next month = $850.45 + $ 20.4
= $870.49
Hence, Alexandra will owe $870.49 if she makes no new purchases.