3 Points
Dawn's credit card has an APR of 15%, calculated on the previous monthly
balance, and a minimum payment of 2%, starting the month after the first
purchase. Her credit card record for the last 7 months is shown in the table
below.
End of
month
Previous
balance
50.00
51700.00
$1687 25
$1674 60
$1662 04
$1649.57
51637 20
New
charges
$1700 00
50.00
50 00
50.00
50.00
Payment
received
$0.00
$34 00
533 75
533 49
$3324
$32.99
$32.74
Finance
charges
50.00
521 25
$21 09
$20.93
$20.78
520 62
$20.46
Principal
paid
$0.00
$12.75
$1265
$12.56
$1247
$12.37
$1228
New
balance
$1700.00
$1687 25
51674 60
S1662 04
$1649 57
S1637 20
S1624 92
50.00
50.00
How much of the initial purchase has Dawn paid off over the 7 months?