The total amount is equal to the sum of principal and interest. Option C is correct. The amount on Card P increased by $3.43 more than the sum on Card Q.
<h3>What is a credit card? </h3>
A credit card is a payment card offered to users to enable the cardholder to pay a merchant for goods and services based on the cardholder's incurred debt.
The given data in the problem is;
Time period = 4 years
Increase rate for card p= 10. 19%,
principal for card P= $726. 19
principal for card Q = $855. 20
Increase rate for card Q= 8. 63%
The value obtained after the interest is commutative balance.
total cumulative balance in Card P = $1080.70
total cumulative balance in Card Q= $1,206.28.
Card P has a total cumulative balance of $1080.70 during the last four years, whereas Card Q has a total accumulated balance of $1,206.28.
When the principal is removed from the cumulative value, Card P would have earned more interest than Card Q based on the principal outlay.
Intreast for card P = $1080.70- $726.19 = $354.51
Intreast for card Q= $1206-$854.92=$351.08
The interest over the four years would be $354.51 and $351.08, respectively,
Hence option C is correct. Card P’s balance increased by $3. 43 more than Card Q’s balance.
To learn more about the credit card refer to the link;
brainly.com/question/14716152
