In businesses today, the most commonly used method for determining a finance charge for a billing cycle is to find the highest daily balance within the last six months and multiply that by the periodic rate.

Question

In businesses today, the most commonly used method for determining a finance charge for a billing cycle is to find the highest daily balance within the last six months and multiply that by the periodic rate.​

Quizplus · Accepted Answer

The most commonly used methods for determining a finance charge include the average daily balance method, the adjusted balance method, and the previous balance method, rather than using the highest daily balance within the last six months.

In Businesses Today, the Most Commonly Used Method for Determining