APR 18.7% compounded monthly Grace Period 30 days Minimum Payment 3.5% of the remaining balance or $30, whichever is higher

Pamela charged $925 to her credit card last month. What is the first minimum payment she must make?


$92.50
$172.98
$32.38
$30.00

My answer is $32.38

1 answer

P = Po + Po*r*t =925 + 925*(0.187/12)*1 = 939.41

0.035 * 939.41 = $32.88

Pay 32.88 because it greater than $30.00.