Card b has an apr of 14 but also charges a 25 annual fee, Financial Management

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Card b has an apr of 14 but also charges a 25 annual fee

1. Interest Charged. You just borrowed $7,500 and are charged a simple interest rate of 8%. How much interest do you pay each year?

2. Credit Card Fees and Financing. Jarrod has narrowed his choice to two credit cards that may meet his needs. Card A has an APR of 21%. Card B has an APR of 14%, but also charges a $25 annual fee. Jarrod will not pay off his balance each month, but will carry a balance forward of about $400 each month. Which credit card should he choose?

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Financial Management: Card b has an apr of 14 but also charges a 25 annual fee

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Financial Management: Card b has an apr of 14 but also charges a 25 annual fee

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