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Test your money IQ! Win a prize!

This is your last chance to win a $25 mall gift certificate by answering a question in our financial literacy quiz created by Canisius College Students in Free Enterprise (SIFE). NeXt has printed one question each week for the past six weeks, and today is the final question. One winner will be chosen at random from correct answers submitted by NeXt readers 18 and younger BY NOON FRIDAY.

How to enter: Figure out the answer to the question and e-mail nextcontest@buffnews.com with the answer, your name, school, grade in school, school phone number, home mailing address and home phone number by noon Friday. The correct answer will be printed in next week's NeXt and can be found on the Buffalo News Web site at www.buffalonews.com. Canisius will notify the winner and provide $25 gift certificate to a local mall and an SIFE T-shirt. (People who have already won once aren't eligible to enter again.)

>Today's question: Credit card debt

You have just charged $400 of new clothes on your new credit card. The credit card company will charge an annual rate of 19 percent on any balance that you do not pay off. You can only afford to make the minimum payment of $15. Assuming you do not charge anything else to this credit card, how long will it take you to pay off this debt, with only making the minimum payment each month, AND what is the amount of interest that you will have paid to the credit card company.

Hint: Go to the Web www.dyn-web.com/javascript/calcs/cc_calc.html to get the calculator to figure out how long to payoff and how much interest they will pay. Enter initial balance of $400, interest rate of 19 percent and minimum payment of $15 to find the answer.

>Last week's question: The Hidden Cost of Cell Phone Calling

What will be your total monthly cost of a cell phone calling plan under the following conditions?

Base rate is $39.99 a month

Buy insurance on your new phone at a rate of $5 a month

Use 30 more anytime minutes than your plan allows, incurring overcharges of 45 cents a minute

Send 20 text messages and receive 15 at a cost of 10 cents per message sent and 10 cents per message received

Pay New York state tax, Erie County tax and a federal tax totaling $8 a month

Pay usage fees totaling $2 a month and an E-911 fee of $1.20 a month

Answer: Base monthly fee $39.99

Insurance Payment $5.00

(No. of overcharge minutes x overcharge fee) 30 x 0.45 $13.50

(No. of text message sent x text message sent fee) 20 x 0.10 $2.00

(No. of text messages received x text message received fee) 15 x 0.10 $1.50

State, County and Federal Taxes $8.00

Usage Fee $2.00

E-911 Fee $1.20

TOTAL: $73.19

The winner: winner's name and school to come on Monday

SIFE is a nonprofit organization of college students who develop educational outreach projects designed to promote understanding of financial matters. For information on free educational programming, contact sife@canisius.edu or call 888-5540.

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