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Jerome's credit card has an APR of 18%, calculated on the previous monthly balance, and a minimum payment of 2%, starting the month after the first purchase. His credit card record for the last 7 months is shown in the table below.

\begin{tabular}{ccccccc}
\hline
\begin{tabular}{c}
End of \\
month
\end{tabular} & \begin{tabular}{c}
Previous \\
balance
\end{tabular} & \begin{tabular}{c}
New \\
charges
\end{tabular} & \begin{tabular}{c}
Payment \\
received
\end{tabular} & \begin{tabular}{c}
Finance \\
charges
\end{tabular} & \begin{tabular}{c}
Principal \\
paid
\end{tabular} & \begin{tabular}{c}
New \\
balance
\end{tabular} \\
\hline
1 & [tex]$\$[/tex] 0.00[tex]$ & $[/tex]\[tex]$ 2200.00$[/tex] & [tex]$\$[/tex] 0.00[tex]$ & $[/tex]\[tex]$ 0.00$[/tex] & [tex]$\$[/tex] 0.00[tex]$ & $[/tex]\[tex]$ 2200.00$[/tex] \\
2 & [tex]$\$[/tex] 2200.00[tex]$ & $[/tex]\[tex]$ 0.00$[/tex] & [tex]$\$[/tex] 44.00[tex]$ & $[/tex]\[tex]$ 33.00$[/tex] & [tex]$\$[/tex] 11.00[tex]$ & $[/tex]\[tex]$ 2189.00$[/tex] \\
3 & [tex]$\$[/tex] 2189.00[tex]$ & $[/tex]\[tex]$ 0.00$[/tex] & [tex]$\$[/tex] 43.78[tex]$ & $[/tex]\[tex]$ 32.84$[/tex] & [tex]$\$[/tex] 10.95[tex]$ & $[/tex]\[tex]$ 2178.06$[/tex] \\
4 & [tex]$\$[/tex] 2178.06[tex]$ & $[/tex]\[tex]$ 0.00$[/tex] & [tex]$\$[/tex] 43.56[tex]$ & $[/tex]\[tex]$ 32.67$[/tex] & [tex]$\$[/tex] 10.89[tex]$ & $[/tex]\[tex]$ 2167.16$[/tex] \\
5 & [tex]$\$[/tex] 2167.16[tex]$ & $[/tex]\[tex]$ 0.00$[/tex] & [tex]$\$[/tex] 43.34[tex]$ & $[/tex]\[tex]$ 32.51$[/tex] & [tex]$\$[/tex] 10.84[tex]$ & $[/tex]\[tex]$ 2156.33$[/tex] \\
6 & [tex]$\$[/tex] 2156.33[tex]$ & $[/tex]\[tex]$ 0.00$[/tex] & [tex]$\$[/tex] 43.13[tex]$ & $[/tex]\[tex]$ 32.34$[/tex] & [tex]$\$[/tex] 10.78[tex]$ & $[/tex]\[tex]$ 2145.55$[/tex] \\
7 & [tex]$\$[/tex] 2145.55[tex]$ & $[/tex]\[tex]$ 0.00$[/tex] & [tex]$\$[/tex] 42.91[tex]$ & $[/tex]\[tex]$ 32.18$[/tex] & [tex]$\$[/tex] 10.73[tex]$ & $[/tex]\[tex]$ 2134.82$[/tex] \\
\hline
\end{tabular}

What is the total amount that Jerome has paid in interest over the 7 months?

A. [tex]$\$[/tex] 195.54[tex]$

B. $[/tex]\[tex]$ 260.72$[/tex]

C. [tex]$\$[/tex] 32.18[tex]$

D. $[/tex]\[tex]$ 65.18$[/tex]



Answer :

GinnyAnswer
To find the total amount of interest Jerome has paid on his credit card over the 7 months, we'll look directly at the finance charges listed for each month in the table.

The finance charges are:
- Month 1: \[tex]$0.00 - Month 2: \$[/tex]33.00
- Month 3: \[tex]$32.84 - Month 4: \$[/tex]32.67
- Month 5: \[tex]$32.51 - Month 6: \$[/tex]32.34
- Month 7: \[tex]$32.18 We will sum these finance charges to find the total interest paid: \[ \begin{align*} 0.00 + 33.00 + 32.84 + 32.67 + 32.51 + 32.34 + 32.18 &= 195.54 \end{align*} \] Therefore, the total amount Jerome has paid in interest over the 7 months is: \[ \$[/tex]195.54
\]

Thus, the correct answer is:

A. \$195.54

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