FinAlgA: U2, MC3 - Credit Cards

Use the summary section of the monthly credit card statement shown to calculate the finance charge.

• $33.54

• $12.98

• $10.06

• $9.38

Tags

CCSS.7.RP.A.3

Yanni received her monthly credit card statement in the mail, the summary of which is shown here. When she calculated the new balance for the month, she arrived at a different amount than the credit card company. What should be the correct new balance?

• $3,576.28

• $3,676.28

• $3,766.28

• $3,776.28

Tags

CCSS.7.NS.A.3

Jackson and Kate Jones do not pay their credit card in full each month, so they incur finance charges. On their last credit card statement, the average daily balance is $875, and the monthly periodic rate is 2.25%. What should be the finance charge on the statement?

• $19.69

• $20.25

• $87.50

• $196.88

Tags

CCSS.7.RP.A.3

What is APR?

• the interest rate that you will pay on any unpaid balances

• the interest rate that you will pay on any purchases

• the fee you pay yearly for being a cardholder

• the fee you pay monthly for being a cardholder

What is a credit limit?

• the maximum amount of money you can borrow with one card

• the minimum amount of money you can borrow with one card

• the amount of money that you borrowed

• the amount of money that must be repaid

What is a credit balance?

• the maximum amount of money you can borrow with one card

• the minimum amount of money you can borrow with one card

• the actual amount of money that you borrowed/spent

• the amount of money that must be repaid

Tags

CCSS.6.NS.C.7C

What is a minimum payment?

• the minimum amount of money you can pay back - you will have to pay interest on the unpaid balance

• the minimum amount of money you can pay back - you will NOT have to pay interest

• the maximum amount of money that you can borrow with a card

• the amount that will be shown on your bill