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Jackson and Kate Jones Do Not Pay Their Credit Card

Question 13

Multiple Choice

Jackson and Kate Jones do not pay their credit card in full each month,so they incur finance charges.On their last credit card statement,the average daily balance is $875,and the monthly periodic rate is 2.25%.What should be the finance charge on the statement?


A) $19.69
B) $20.25
C) $87.50
D) $196.88

Correct Answer:

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