Leroy's credit card has an APR of 21%, 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.
End of
month
1
2
3
4
Previous
balance
$0.00
$2600.00
$2593.50
$2587.02
$2580.55
52574.10
$2567.66
New
charges
$2600.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
Payment
received
$0.00
$52.00
$51.87
$51.74
$51.61
$51.48
$51.35
Finance
charges
$0.00
$45.50
$45.39
$45.27
$45.16
$45.05
$44.93
Principal
paid
$0.00
$6.50
$6.48
$6.47
$6.45
56.44
$6.42
New
balance
$2600.00
$2593.50
S2587.02
52580.55
$2574.10
$2567.66
$2561.24
What is the total amount that Leroy has paid in interest over the 7 months?