Respuesta :
Answer:
The minimum monthly payment is $220
Explanation:
The minimum monthly payment is computed as 4% of outstanding balance,hence the minimum payments is computed thus:
4%*$5500=$220
Credit cards are issued financial institutions to their customers to enable make expenditure in advance.The funds being spent is not in the customer's account unlike debit cards where customer's account must have been pre-funded .
On settling the amount owed to the bank,the customer pays interest on the amount borrowed such as the 4% charged in this scenario.
The interest rates charged are most times at single rate.
