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Andrew [12]
3 years ago
15

If you charge $2,000 on a credit card today, how much will the

Mathematics
1 answer:
svet-max [94.6K]3 years ago
5 0

Answer:

$5,674.30

Step-by-step explanation:

Use the Compound Amount formula:

A = P(1 + r/n)^(n*t), where r = APR as a decimal fraction = 0.1499

and n = 12 (compounded monthly).

Then A = $2,000(1 + 0.1499/12) )^(7*12)

             =  $2,000(1 +  0.0125)^84

              = $2,000(1.0125)^84 = $2,000(2.837) = $5,674.30

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