Question

4) Manuel has an outstanding credit balance of $1117.00 on a credit card. The minimum

monthly payment is 7% or $20.00, whichever is more. How much is his monthly
payment? (2 marks)

Answer 1

Answer: $78.19

Work Shown:

7% of balance = 7% of 1117.00 = 0.07*1117.00 = 78.19

Since 78.19 is larger than 20.00, we go with 78.19 as the minimum monthly payment.