Question

After making a payment, a person is left with a credit card balance of $315. How much interest will be charged after 18 months if the interest rate is 1.5% per year? Round to the nearest cent. Please explain how you answer step by step!!

Answer 1

A = P (1 + i)^n A is the final amount

P is the initial amount

i = interest / period

n = number of periods

A = 315 * (1 + .015)^1.5 = 322.11