Preskoči na glavni sadržaj

Sign up for FREE

Context 6 - Credit Cards 2

Posljednje ažuriranje about 2 years ago

21

Napomena autora:

MMR Resources

1

Pitanje 20

20.

Give at least two reasons for why people might not pay more than the minimum required payment each month.

1

Pitanje 21

21.

Choose one of your reasons from #20. Give advice to someone who might plan to make minimum payments. Back up your advice with mathematics

Link for website needed for assignment:

https://financialmentor.com/calculator/credit-card-payoff-calculator

1

1

1

1

1

1

1

1

1

1

1

1

1

1

1

1

1

1

1

Pitanje 1

1.

Using the $150 fixed payment, 5,934 balance, and 20% interest rate, how many months would it take to pay off the credit card?

Pitanje 2

2.

How much money would you pay in total interest?

Pitanje 3

3.

What percentage of your original balance is this amount?
Hint: Divide the interest by the total original balance.
Round your answer to the nearest whole percent like 43%

Pitanje 4

4.

How much did you spend in total by using a credit card?

Pitanje 5

5.

Click on "Create Payoff Amortization Schedule". Calculate the interest to payment ratio for the first month.
To do this, divide the interest by the total payment.
Enter your answer as a percent rounded to 1 decimal point like 23.4%

Pitanje 6

6.

Click on "Create Payoff Amortization Schedule". Calculate the interest to payment ratio for the 15th month.
To do this, divide the interest by the total payment.
Enter your answer as a percent rounded to 1 decimal point like 23.4%

Pitanje 7

7.

Click on "Create Payoff Amortization Schedule". Calculate the interest to payment ratio for the 30th month.
To do this, divide the interest by the total payment.
Enter your answer as a percent rounded to 1 decimal point like 23.4%

Pitanje 8

8.

Is the interest to payment ratio constant throughout the table? Why do you think that it is?

Pitanje 9

9.

After how many months does more of your payment go towards the principal instead of the interest?

Pitanje 10

10.

If you paid $300 every month, how many months would it take you to pay off your credit card? (Assuming you don’t add any more debt to your credit card.)

Pitanje 11

11.

How much money would you pay in total interest?

Pitanje 12

12.

What percentage of your original balance is this amount?
Round your answer to the nearest percent like 43%

Pitanje 13

13.

How much did you spend in total by using a credit card?

Pitanje 14

14.

After how many months does more of your payment go towards the principal instead of the interest?

Pitanje 15

15.

If you paid $500 every month, how many months would it take you to pay off your credit card? (Assuming you don’t add any more debt to your credit card.)

Pitanje 16

16.

How much money would you pay in total interest?

Pitanje 17

17.

What percentage of your original balance is this amount?
Enter your answer rounded to the nearest whole percent like 43%

Pitanje 18

18.

How much did you spend in total by using a credit card?

Pitanje 19

19.

Scroll down and look at the amortization table. After how many months does more of your payment go towards the principal instead of the interest?