Hak Young is tired at the end of the semester and decides he really needs a break so he pays for a one week all-inclusive trip to Disney Land with his credit card. In total the trip cost $3000 and his credit card charges 21% interest compounded monthly. He doesn’t expect that he will have the money to pay off his credit card until he graduates and is working full time which will be at least another 18 months. How much will Hak Young’s trip have truly cost him by the time he can start to pay it off? What will be the total interest paid?
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