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Joan bought a jumper on February 21st on her credit card for $89.00. The rate of interest is 18% p.a. flat (i.e. 1.5% per month). How much does Joan owe after 2 months if she has not paid any amount off the card? There is no interest-free period.
 Feb 26, 2014
 #1
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Its $ 91.67
 Feb 26, 2014
 #2
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Guest:

Its $ 91.67



How did you do this. How is our guest supposed to learn from this.
No-one can learn from just an answer.
 Feb 26, 2014
 #3
avatar+118608 
0
Guest:

Joan bought a jumper on February 21st on her credit card for $89.00. The rate of interest is 18% p.a. flat (i.e. 1.5% per month). How much does Joan owe after 2 months if she has not paid any amount off the card? There is no interest-free period.



I = Prt = 89 * 1.5/100 * 2 = $2.67

She will owe 89+2.67 = $91.67
 Feb 26, 2014

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