Part A You owe $1,842.66 on a credit card at a 14.5% APR. You pay $250.00 at the beginning of the month and pu

Question

Part A
You owe $1,842.66 on a credit card at a 14.5% APR. You pay $250.00 at the beginning of the month and put another $250.00 in a savings account at a 4.0% APR. What is the difference in the amount of interest accrued between the credit card and savings account by the end of one month?
 
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GPT-5 mini · Answer

After the $250 payment the card balance is 1,842.66 − 250 = 1,592.66.

Credit card interest for one month = 1,592.66 × (0.145/12) = $19.24 (≈ $19.2446).

Savings interest for one month = 250 × (0.04/12) = $0.83 (≈ $0.8333).

Difference = 19.2446 − 0.8333 ≈ $18.41.

So the credit card accrues about $18.41 more interest than the savings earns in one month.

Part A
You owe $1,842.66 on a credit card at a 14.5% APR. You pay $250.00 at the beginning of the month and put another $250.00 in a savings account at a 4.0% APR. What is the difference in the amount of interest accrued between the credit card and savings account by the end of one month?

$

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Part A You owe $1,842.66 on a credit card at a 14.5% APR. You pay $250.00 at the beginning of the month and put another $250.00 in a savings account at a 4.0% APR. What is the difference in the amount of interest accrued between the credit card and savings account by the end of one month? $

All Answers 1

Submit Your Answer

Part A
You owe $1,842.66 on a credit card at a 14.5% APR. You pay $250.00 at the beginning of the month and put another $250.00 in a savings account at a 4.0% APR. What is the difference in the amount of interest accrued between the credit card and savings account by the end of one month?

$