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Your Previous Balance Is $100; You Charge $100 More on January

Question 23

Multiple Choice

Your previous balance is $100; you charge $100 more on January 2nd and your month-end balance is $200.What method would cost the most with 12% APR?


A) Adjusted balance method
B) Average daily balance method
C) Minimum finance charge
D) Both the adjusted balance method and the average daily balance method

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