Question

Rebecca carries a balance on her credit card each month. Today is the first day of the new, 28-day billing cycle. The current balance is x and the APR is 24%. Rebecca is buying a friend an expensive gift that costs $1,400 that she plans to put on her credit card. This will be her only purchase this month, and she will be making this purchase on the last day of the month. If her finance charge will be $51, write and solve an equation to determine her current balance on her credit card.

Answer 1

Average date*Interest=Finance charge

Previous debt*2%´+1400*2%=51

Previous debt=1150

Explanation:

X=Previus Debt

Debt= Previus debt + 1400

Finance Charge 51.

Debt=1400+1150= 2550

Average debt= Previus debt + 1400

Average date*Interest=Finance charge

Previous debt*2%´+1400*2%=51

Previous debt=1150

Interest capital Debt Payment

1 51 213 2,338 264

2 47 213 2,125 259

3 43 213 1,913 255

4 38 213 1,700 251

5 34 213 1,488 247

6 30 213 1,275 242

7 26 213 1,063 238

8 21 213 850 234

9 17 213 638 230

10 13 213 425 225

11 9 213 213 221

12 4 213 0 21