Credit Card Interest Rate (APR) Balance Credit Limit MarkedUp 9.65% $458.90 $1,500.00 Cred 8.8% $2,249.80 $2,500.00 BankLine 14.9% $946.95 $4,000.00 Question (1 point) Use the table to answer question. What is your current debt ratio as a percentage to the nearest hundredth?
To calculate the current debt ratio, we need to divide the total balance by the total credit limit and then multiply by 100 to get the percentage.
Total balance = $458.90 + $2,249.80 + $946.95 = $3,655.65
Total credit limit = $1,500.00 + $2,500.00 + $4,000.00 = $8,000.00
Debt ratio = ($3,655.65 / $8,000.00) * 100
Debt ratio = 0.45695625 * 100
Debt ratio ≈ 45.70%
Therefore, the current debt ratio is approximately 45.70%.