PLEASE HELP ASAP!!!
When you use a credit card, you are charged interest each month on the balance in your account. You can use a spreadsheet to investigate the interest chargeed n a credit-card account. you use a credit card to buy a $450 airline ticket. you are charged 1.8% monthly interest on your account balance, and you make a $40 payment each month. Using a spreadsheet, ccreate a spreadsheet with the formulas shown in red.
A1: Month B1: Balance C1: Planned Monthly Payment D1: Interest E1:New Balance F1: Total interest
A2: 1 B2: 450 C2: (always 40) D2: B2*0.018 E2: =B2+D2-C2 F2: =D2
A3: =A2+1 B3: =E2 C3: 40 D3: B3*0.018 E3:=B3+D3-C3 F3: F2+D3
Please continue on till Month 12.
BTW PLEASE TYPE YOUR SPREADSHEET!
To continue the spreadsheet calculations till Month 12, follow these steps:
1. Select cell A3 and enter the formula "=A2+1". This will increment the month number by 1 for each row.
2. Select cell B3 and enter the formula "=E2".
3. Select cell C3 and enter the value "40". This represents the planned monthly payment.
4. Select cell D3 and enter the formula "=B3*0.018". This calculates the interest charged on the balance.
5. Select cell E3 and enter the formula "=B3+D3-C3". This calculates the new balance after deducting the payment and adding the interest.
6. Select cell F3 and enter the formula "=F2+D3". This calculates the running total of interest charges.
7. Select cells A3 to F3.
8. Click and drag the bottom right corner of the selected cells to copy and fill the formulas down till Month 12.
Make sure that the references in the formulas update correctly as you copy them down the spreadsheet. For example, the formula in cell D3 should reference B3, not B2.
Now you can analyze the balance, interest charges, and total interest for each month up to Month 12.