Question

You have a credit card that charges 18% per year interest or 1.5% per month. You buy a TV for $1100 on the credit card, but at the end of the month you only pay $100. You continue to pay $100 the next month. You pay the entire balance in the third month. How much did you pay the third month. How much total interest did you pay over the three months?

Answer 1

897 and 4.5% interest.