Question 20110 Joey has a credit card that uses the previous balance method The opening balance of one of his 30-day billing cycles was 0, but this was his balance for only the first 15 days of the billing cycle. He then made a purchase that increased his balance to 7200 and his balance stayed this amount for the remainder of the billing cycle. If his credit card's APR is 13% how much was Joey charged in interest for the billing cycle? A. 38.47 B. 76.93 C. 93.60 D. 0

Question

Question 20110 Joey has a credit card that uses the previous balance method The opening balance of one of his 30-day billing cycles was 0, but this was his balance for only the first 15 days of the billing cycle. He then made a purchase that increased his balance to 7200 and his balance stayed this amount for the remainder of the billing cycle. If his credit card's APR is 13% how much was Joey charged in interest for the billing cycle? A. 38.47 B. 76.93 C. 93.60 D. 0

Answer 1

To solve this problem, we need to calculate the interest charged on Joey's credit card balance using the previous balance method.Given information:- The opening balance of the billing cycle was

7200 for the remaining 15 days of the billing cycle.- The credit card's APR is 13%.Step 1: Calculate the daily interest rate.APR = 13%Daily interest rate = APR / 365 = 13% / 365 = 0.0356% per dayStep 2: Calculate the interest charged for the 15 days.Interest charged = Previous balance × Daily interest rate × Number of daysInterest charged =

0Therefore, the correct answer is D. $0.

Problemas

Roztwór

Respuesta