Jonathan Knudsen

Adriana Rocha
Taelar Sandoval
Taylor Jordan
Credit card Assignment
1)
Month
Old Balance
Interest
Payment
New Balance
1
$2000.00
$24.17
$25.00
$1999.17
2
$1999.17
$24.16
$25.00
$1998.33
3
$1998.33
$24.15
$25.00
$1997.48
4
$1997.48
$24.14
$25.00
$1996.62
5
$1996.62
$24.13
$25.00
$1995.75
6
$1995.75
$24.12
$25.00
$1994.87
7
$1994.87
$24.11
$25.00
$1993.98
8
$1993.98
$24.09
$25.00
$1993.07
9
$1993.07
$24.08
$25.00
$1992.15
10
$1992.15
$24.07
$25.00
$1991.22
11
$1991.22
$24.06
$25.00
$1990.28
12
$1990.28
$24.05
$25.00
$1989.33
What is the total amount that has been paid to the credit card company at the end
of the first year?
12 X 25 = $300.00
How much of the original balance has been paid off at the end of the first year?
2000.00 - 1989.33 = $10.67
From looking at the new balances over the first year, how many years do you think
it will take to pay off the $2000.000?
2000/ 12 = about 166 years

2)
A) M= 283.12 months
B) 23.6 years
C) Total paid is $7077.92
3)
A) M= 59.78 months
B) 5 years
C) $2989

4)
A) M= 32.38 months
B) 3 years
C) total paid $2426
5)
A) P= $180.05
B) total paid $2161

6)
A) The best plan for paying off the $2000 would be paying off as much as
much as possible at once to minimize debt as well as the number of years paying it
off. For example, making the payment of $180.05 results in $161 in interest
opposed to $5078 in interest when only the minimum payment is made.
B) The worst plan for paying off the $2000 would be paying the minimum
payment because when the minimum payment is made, the payment is barely
more than what is being charged in interest making it longer to pay off and more
expensive when all is said and done.
C) If you cant afford to make the payment in the best plan you should pay
the most that you can over the minimum payment to minimize the interest the best
you can.

7)
A) Dont only pay the minimum payment on credit card debt because it takes
longer to pay off and in the long run, you pay more to the credit card company in
interest.
B) The greater the payment that can be made, the less you end up paying in
interest.