Peter Borrowed $225

question 96

Multiple Choice

Peter borrowed $225. He paid $20 interest and a service charge of $3.00. What is his finance charge?

• A) $3.00
• B) $20.00
• C) $23.00
• D) $225.00
• E) $248.00

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Definitions:

Common-Size Financial Statement

A financial statement that includes a percentage breakdown of each item.

Income Statement

A financial statement that reports a company's financial performance over a specific accounting period, detailing revenues, expenses, and net income.

Statement of Cash Flows

A financial document detailing the cash inflows and outflows from operating, investing, and financing activities of a company over a period.

Percentage Breakdown

A method of expressing components of a whole as percentages to show their relative sizes or contributions to the total.