Question

Kristin's credit rating was lowered, and the credit card company raised her APR from 14% to 15.2%. If her average daily balance this month is x dollars, express algebraically the increase in this month's finance charge due to the higher APR. Fill in the blank 1

Answer 1

Answer:

0.001x

Step-by-step explanation:

Answer 2

Answer:

0.0022x

Step-by-step explanation:

Given that,

The credit card company raised her APR from 14% to 15.2%.

Her average daily balance this month is x dollars.

We need to find the algebraically the increase in this month's finance charge due to the higher APR. It can be calculated as follows :

$y=x\times \dfrac{12\%}{14}-x\times \dfrac{15.2\%}{14}\\\\=x\times \dfrac{12}{1400}-x\times \dfrac{15.2}{1400}\\\\=-0.0022x$

So, the required increase in the month's finance is 0.0022x.