Due to Poor Spending Habits, Ricky Has Accumulated $10,000 in Credit

question 101

Multiple Choice

Due to poor spending habits, Ricky has accumulated $10,000 in credit card debt. He has missed several payments and now the annual interest rate on the card is 18.95%! If he pays $175 per month on the card, in total, how much interest expense does Ricky pay to the credit card company?

• A) $15,987.50
• B) $17,008.52
• C) $12,905.13
• D) $8,714.62

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Definitions:

Cross-Classification Table

A table used to organize data according to two variables simultaneously, allowing for the examination of the relationship between them.

Frequency Distribution Tables

Tables that display the frequency of various outcomes in a sample.

Nominal Variables

Variables categorized into discrete groups or categories without a natural order or ranking.

Pie Charts

A type of graph that represents data as slices of a circle, with each slice size proportional to the quantity it represents.