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Andrew has a balance of $6,000 on his credit card with an annual interest rate of 12%. To pay off the $6,000 in three years, Andrew will have to make a minimum payment of $199.29 per month. How much will Andrew pay in interest over the three year period?
A) $988.20
B) $1,174.44
C) $1,871.94
D) $7,174.44

Respuesta :

wegnerkolmp2741o

3 years is 36 months

36 * 199.29 =7174.44

this is the amount he pays in 3 years

payment - principal = interest

174.44-6000=1174.44

this is the amount of interest

Choice B

Answer:  well in three years theres 36 months (12 + 12 + 12 = 36)

so we'll have to multiply it by the minimum payment andrew will have to make a month :

$199.29 x 36 = 7174.44  (amount in three years)

then were going to follow the formula  : P - P = I ( PAYMENT - PRINCIPLE = INTEREST)

$174.44 - $6000 = 1174.44

the answer is B) $ 1,174.44

~serenity bella

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