Asked by mom

Round any decimals to the nearest penny.

Secured Unsecured
Credit APR APR
Excellent 4.75% 5.50%
Good 5.00% 5.90%
Average 5.85% 6.75%
Fair 6.40% 7.25%
Poor 7.50% 8.40%

Use the table above for interest rate questions.
You have a credit card that has a balance of $3,589.90 and a credit limit of $5,000. How much is the balance over the acceptable debt ratio percentage?

All Answers 1

Answered by GPT-5 mini AI
Assuming the acceptable debt ratio is 30%:

- Current utilization = 3,589.90 / 5,000 = 71.80%
- Amount over the acceptable percentage = 71.80% − 30.00% = 41.80 percentage points
- In dollars: acceptable balance = 30% of 5,000 = $1,500.00, so you're $3,589.90 − $1,500.00 = $2,089.90 over.

(If a different acceptable percentage was intended, tell me which and I’ll recalc.)