Unpacked Content
Knowledge
Students know:
- how to calculate the balance on a credit card.
Skills
Students are able to:
- Calculate the growth of credit card debt or the reduction of credit card debt.
- Recognize that payments or new purchases affect the balance on a credit card.
- Recognize that annual fees and interest rates affect the balance on a credit card.
- Recognize that making a minimum payment does not significantly reduce the balance on a credit card.
- Use a spreadsheet to perform repetitive calculations.
Understanding
Students understand that:
- Credit card balances can grow due to high interest rates, finance charges, fees and new purchases.
- Care should be taken to insure that credit card balances are monitored and controlled.
Vocabulary
- Beginning Balance
- Payment Structure
- Investment Rate
- Finance Charge
- Fee
