Financial Algebra Advanced Algebra with Financial Applications 2nd Edition

Financial Algebra Advanced Algebra with Financial Applications 2nd Edition Robert Gerver Richard J Sgroi- Test Bank Questions And AnswersSample Test Chapter_03___Consumer_Credit_ 1. A debit card is a type of charge card of which the monthly bill must be paid in full. 2. True 3. False ANSWER: False RATIONALE: A debit card is not a credit card or charge card. It acts like an electronic check by which money is deducted from your checking account each time you use it. POINTS: 1 QUESTION TYPE: True / False HAS VARIABLES: False DATE CREATED: 1/26/2017 3:33 AM DATE MODIFIED: 2/13/2017 1:20 AM 2. Last month, the ending balance on Maryanne’s MasterCard was $1,789, the average daily balance was $755, and the monthly periodic rate is 1.85%. Her finance charge can be calculated by multiplying the ending balance times the monthly periodic rate. So the finance charge is $1,789 0.0185 = $33.10. 3. True 4. False ANSWER: False RATIONALE: The finance charge can be found by multiplying the average daily balance times the monthly periodic rate. Maryanne’s finance charge is $755 × 0.0185 = $13.97. POINTS: 1 QUESTION TYPE: True / False HAS VARIABLES: False DATE CREATED: 1/26/2017 3:35 AM DATE MODIFIED: 2/13/2017 1:22 AM 3. Taneeka borrowed $12,000 for a car for 6 years at an APR of 7.25%.