Mathematics

Question


You take out a cash advance of $1,670.00 on a credit card with a 2% cash advance fee and a 13.5% APR. What is the amount due by the end of the month?
A.
$1,722.56
B.
$1,895.45
C.
$1,933.36
D.
$1,703.40

2 Answer

  • A=1,670×(1+0.135÷12)+1,670×0.02
    A=1,722.19
  • Answer:

    $1703.4

    Step-by-step explanation:

    Given : You take out a cash advance of $1,670.00 on a credit card with a 2% cash advance fee and a 13.5% APR.

    To Find: What is the amount due by the end of the month?

    Solution:

    2% cash advance fee = [tex]2\% \times 1670[/tex]

                                        = [tex]\frac{2}{100} \times 1670[/tex]

                                        = [tex]33.4[/tex]

    So, the amount due by the end of the month = $1,670.00 + $33.4

                                                                              =$1703.4

    Hence the amount due by the end of the month is $1703.4

NEWS TODAY