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Your parents have 3 credit cards. Each has its entire credit line used, and the credit limits are $1,800.00, $2,600.00, and $3,500.00. Paying off and closing which card would increase your parents' debt ratio the most?
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any idea ?
old question, answering to close in the context of credit cards, debt ratio is (amount of credit used) / (amount of credit available). because all the cards are maxed out, the debt ratio for all of them is 1, and thus the debt ratio will be constant regardless of which card is closed.
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