David would like to buy a laptop computer and save 20 percent during sale. He uses his credit card to pay for it. David is counting on getting a lot of money in graduation presents from his parents' business associates. David knows that his credit card company offers a 28 day grace period, so if he pays off the whole amount, he won't owe any interest. Sure enough, after his big party, David counts up the checks and has 1000! When he gets his credit card bill at the end of the month, he is able to pay the balance of 800 in full
How long will it take for David to pay off the 800?
How much interest will he have to pay ?
What am I missing here? Your problem states that he pays off the 800 in full at the end of the month. No payments, no interest.
Thank you
To determine how long it will take for David to pay off the $800, we need to know the minimum payment requirement and the interest rate on his credit card. Without these details, we cannot accurately calculate the time it will take to pay off the balance.
However, since David is planning to pay off the entire amount, including the 20% discount he saved during the sale, within the grace period of 28 days, he will not incur any interest charges. Therefore, there will be no interest to pay.
If you have any more specific details, please provide them so we can assist you further.
To determine how long it will take David to pay off the $800 and how much interest he will have to pay, we need to know the interest rate charged by his credit card company.
Since the question does not provide information about the interest rate, we cannot calculate the exact interest amount or the duration for paying off the balance.