Asked by Madhu Keerthana on Jul 21, 2024
Verified
Asa's most recent credit card statement had a balance of $2,622.77.The minimum payment warning box indicates that it will take 12 years to pay off the card if he makes the minimum payment of $28 per month.If he makes a monthly payment of $100,it will take 3 years to pay off the balance.What will be the percent increase in total payments if Asa only pays the minimum rather than the $100 per month?
Minimum Payment Warning Box
Information on a credit card statement that explains the consequences of only making minimum payments.
Percent Increase
A measure of how much a quantity grows over a period, expressed as a percentage of the original amount.
- Ascertain the total sum of payments and interest on loans and installment configurations.
Verified Answer
MG
Marissa GalloJul 27, 2024
Final Answer :
Multiply the monthly payment by the time required in months to pay off the credit card.Then use the total payments for the $100-per-month option as the basis of comparison in the percent increase formula. 
Learning Objectives
- Ascertain the total sum of payments and interest on loans and installment configurations.