Jake Owes $3,400 on His Credit Card

question 21

Multiple Choice

Jake owes $3,400 on his credit card.He is not charging any additional purchases because he wants to get this debt paid in full.The card has an APR of 13.9 percent.How much longer will it take him to pay off this balance if he makes monthly payments of $50 rather than $60?

• A)28.24 months
• B)31.33 months
• C)36.74 months
• D)39.20 months
• E)41.79 months

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Definitions:

Merchants

Individuals or businesses engaged in the sale of goods and services, especially in the retail sector.

Lemon-Law

Consumer protection laws that provide a remedy for purchasers of cars and other consumer goods that fail to meet standards of quality and performance.

Standards of Quality

Established benchmarks that define the specific requirements, specifications, and guidelines to ensure that materials, products, processes, and services are fit for their purpose.

Remedy

A legal means to enforce a right or redress a wrong, such as damages, injunction, or specific performance.