Calculate the Monthly Finance Charge for the Credit Card Transaction

question 187

Multiple Choice

Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days for a payment to be received and recorded and that the month is 30 days long. Round your answer to the nearest cent. }\\\\\text { Balance Rate Payment Method }\\\$ 1,200 \quad 20 \% \quad \$ 400 \quad \begin{array} { l } \text { Average daily } \\\text { balance }\end{array}\end{array}">$\begin{array}{l}\text { cellpadding="0" cellspacing="0" width=" } 62 \% \text { " border="0"> }\\\\\text { Balance Rate Payment Method }\\\$ 1,200 \quad 20 \% \quad \$ 400 \quad \begin{array} { l } \text { Average daily } \\\text { balance }\end{array}\end{array}$

• A) $20.00
• B) $15.34
• C) $19.60
• D) $13.33
• E) $15.47

---

Definitions:

Autonomic Nervous System

A part of the peripheral nervous system that controls involuntary body functions, such as heart rate, digestion, and respiratory rate.

Sympathetic

A portion of the autonomic nervous system.

Parasympathetic

A division of the autonomic nervous system.

Pons

A portion of the brainstem connecting the medulla oblongata and cerebellum with upper portions of the brain.