Question

Find the monthly interest payment in the situation described below. Assume that the monthly interest rate is 1 divided by 12 of the annual interest rate.
You maintain an average balance of ​$900 on your credit​ card, which carries a 12​% annual interest rate.

Answer 1

Answer:

Step-by-step explanation:

i = P * r * t

i = 900 * 12%/12 * 1

i = 900 * 1% = 900 * 1/100

i = 9 dollars.

You'll pay 9 dollars a month to maintain that balance.