You make a purchase of $600 on a new credit card with a yearly interest rate of 12%. You make a large payment your first month of $200. What is the credit card’s balance before you make the payment?(1 point)

Question

Responses

$606
$606

$406
$406

$672
$672

$472

Answer 1

$606

Explanation:
Initial purchase = $600
12% yearly interest = $600 * 0.12 = $72
Balance before payment = $600 + $72 = $672
After making the $200 payment, the balance will be $672 - $200 = $472.