2. Belinda pays $750 a month towards her loan. If she can afford to put more towards her loan each month, what is your advice for her? Explain.
3. A credit card charges interest of 14% p.a. compounding daily, on overdue accounts. If $3879 is overdue by 35 days, what interest would be charged?
4. Mrs Jones received her credit card statement for the month of June. The opening balance was $0.00 and purchases amounted to $1469. Calculate the minimum monthly payment if it is $50 or 12% of the closing balance, whichever is the greater.
5. Hallie has a credit card with no interest free period, and a compound interest rate of 16% p.a., compounding daily. During January she makes the following transactions:
1 January Swimwear $92.00
8 January Outdoor furniture $804.00
17 January Groceries $163.00
a) What is the daily compound interest rate, correct to four decimal places?
b) Hallie pays off her credit card on February 10th. During this time, how much interest has Hallie paid on her:
i) swimwear
ii) outdoor furniture
iii) groceries