Respuesta :
Answer:
[tex]\$22.5[/tex]
Step-by-step explanation:
GIVEN: A bank is offering you an introductory credit card promotion. Your interest for the first year is [tex]8\%[/tex]. But, at the beginning of the [tex]2[/tex]nd year your interest rate will go up to [tex]23\%[/tex]. If you have an [tex]\$1,800[/tex] balance on your card throughout both years.
TO FIND: difference in the monthly interest owed during year [tex]1[/tex] and year [tex]2[/tex].
SOLUTION:
rate of interest for first year [tex]=8\%[/tex]
total amount on card [tex]=\$1800[/tex]
interest earned in first year [tex]=\frac{\text{Principal}\times\text{rate}\times\text{time}}{100}[/tex]
[tex]=\frac{1800\times8\times1}{100}[/tex]
[tex]=\$144[/tex]
monthly interest owed [tex]=\frac{\$144}{12}=\$12[/tex]
rate of interest for first year [tex]=23\%[/tex]
total amount on card [tex]=\$1800[/tex]
interest earned in first year [tex]=\frac{\text{Principal}\times\text{rate}\times\text{time}}{100}[/tex]
[tex]=\frac{1800\times23\times1}{100}[/tex]
[tex]=\$414[/tex]
monthly interest owed [tex]=\frac{\$414}{12}=\$34.5[/tex]
Difference in monthly interest owed during year [tex]1[/tex] and year [tex]2[/tex] [tex]=34.5-12=\$22.5[/tex]
Answer: the amount would be $22.50
Step-by-step explanation: trust me
