1. Which of the following is an advantage of using credit cards? (Points : 1)
Credit card accounts charge monthly interest.
It is very easy to charge more than you can pay off each month.
If you pay late, you will be charged a late fee.
They are convenient.
2. The amount left when you subtract last month's payment from last month's balance on a credit card statement is the (Points : 1)
3. The percentage charged each month on purchases charged to the credit card account is called the (Points : 1)
4. Use this information for questions 4-6.
On Kathleen's credit card statement, her last balance was $89.70. She made a payment of $20, had new charges totalling $32.11, and pays a periodic rate of 1.23 percent. What is her unpaid balance?
(Points : 1)
5. What was Kathleen's finance charge? (Points : 1)
6. What is Kathleen's new balance? (Points : 1)
7. Jack's credit card statement showed these items:
Last Balance Payments Finance Rate New Charges
$95.85 $45.00 1.5% $345.90
What is Jack's new balance? (Points : 1)