3. You owe $2,348.62 on a credit card with an 8.75% APR. You pay $300.00 toward the card at the beginning of the month and another $300.00 in a savings account at a 3.25% APR. What is the difference in interest accrued if you had paid $600.00 toward the card instead of $300.00?
4. Using the information from Problem 3, how many months will it take you to pay off your debt if you pay at least $600.00 at the beginning of each month? Include the last month even if the payment is less than $600.00.

Question

3. You owe $2,348.62 on a credit card with an 8.75% APR. You pay $300.00 toward the card at the beginning of the month and another $300.00 in a savings account at a 3.25% APR. What is the difference in interest accrued if you had paid $600.00 toward the card instead of $300.00?
4. Using the information from Problem 3, how many months will it take you to pay off your debt if you pay at least $600.00 at the beginning of each month? Include the last month even if the payment is less than $600.00.

anonymous · Answer

1. The IRS is gonna be mad. JK hold on I'll help

anonymous · Answer

Haha, thank you! I really appreciate it.

anonymous · Answer

So in order to do this we should start off by getting rid of some unnecessary info. Get rid of the part that says "and another $300.00 in a savings account at a 3.25% APR."
Now do this $$(2,348.62-300).875$$

anonymous · Answer

Tell me what your answer is

anonymous · Answer

This answer is the interest ammount if you put 300 into the account in the beginning of the month.

anonymous · Answer

2,322.37. Did I mess up somewhere?

anonymous · Answer

Oh wait, 179.25

anonymous · Answer

180.28 is the answer

anonymous · Answer

For #1?

anonymous · Answer

The answer to #3 is $26.40

anonymous · Answer

Thank you!!! How do I do #4?  (Sorry, I'm so bad at math. Its all so confusing.)

anonymous · Answer

I don't remember how to do four exactly but I would look it up on wiki or yahoo

anonymous · Answer

Alright, thanks.