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Please help ASAP!!!!!!!

Please help ASAP!!!!!!!-example-1

2 Answers

2 votes
Answer 86.61 !


Explanation : copied other person if you don’t mind
User Curlas
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Answer:

$86.81

Explanation:

Using the given formula, we want to compute A for ...

P = 4750

r = 0.2279

n = 365 . . . . . assuming "exact" interest

t = 1 or 30

For 1 day late:

A = 4750(1 +0.2279/365)^(365·(1/365)) = 4752.97

For 30 days late:

A = 4750(1 +0.2279/365)^(365·(30/365)) = 4839.78

The difference in these payment amounts is ...

$4839.78 -4752.97 = $86.81

You would save $86.81 in interest charges by paying only 1 day late.

_____

Comment on the question

It would be a poor choice of credit card to use one that compounds interest daily. Most do so on a monthly basis.

User Splendonia
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4.4k points