Credit Cards

Credit Cards

The evil that lies within... or not?

Multiple Choice

Which is not a pro of a credit card?

• build up your credit score

• can give rewards like "cash back"

• offers unlimited money

• protection against fraud

Multiple Choice

How can you avoid paying interest on credit cards?

• live off the grid

• run

• use multiple credit cards

• pay off your credit cards completely so that no money builds up

Multiple Choice

y = kx --> (total interest) = (APR)(money on credit card)

Solve for k.

• $k\ =\ \frac{y}{x}$

• $k=\frac{x}{y}$

• $y=\frac{k}{x}$

Multiple Choice

y = kx --> (total interest) = (APR)(money on credit card)

Solve for x.

• $k\ =\ \frac{y}{x}$

• $k=\frac{x}{y}$

• $y=\frac{k}{x}$

•  $x=\frac{y}{k}$  

Multiple Choice

y = kx --> (total interest) = (APR)(money on credit card)

Solve for (money on credit card).

•  $money\ on\ card=\frac{total\ interest}{APR}$  
  

•  $money\ on\ card=\frac{APR}{total\ interest}$ 

•  $APR=\frac{total\ interest}{money\ on\ credit\ card}$ 

•  $APR=\frac{money\ on\ card}{total\ interest}$  

Multiple Choice

y = kx --> (total interest) = (APR)(money on credit card)

Solve for (APR).

•  $money\ on\ card=\frac{total\ interest}{APR}$  
  

•  $money\ on\ card=\frac{APR}{total\ interest}$ 

•  $APR=\frac{total\ interest}{money\ on\ credit\ card}$ 

•  $APR=\frac{money\ on\ card}{total\ interest}$  

Multiple Choice

y = kx → (total interest charged) = (APR)(money on credit card)

How much interest will you be charged with .25 APR & $400 on your credit card?

• $100

• $200

• $300

• $400

Multiple Choice

y = kx → (total interest charged) = (APR)(money on credit card)

What is your credit card's APR if you were charged $300 interest with $700 on your card?

• .43 or 43%

• .25 or 25%

• .10 or 10%

• 1 or 100%

Multiple Choice

y = kx → (total interest charged) = (APR)(money on credit card)

How much money is currently charged on your credit card if the interest build up is $400 and your APR is .25?

• .43 or 43%

• .25 or 25%

• .10 or 10%

• 1 or 100%

Multiple Choice

y = kx → (total cash back) = (%back)(amount spent)

How much cash back would you get with 2% cashback on a $1700 purchase?

• $57

• $34

• $200

• $1700

Multiple Choice

y = kx → (total cash back) = (%back)(amount spent)

How much would you spend to get $400 back with a 5% cashback reward?

• $57

• $500

• $8,000

• $120,000