Mary owed $800 on a credit card at the end of the March billing cycle. She made a purchase of $600 with 20 days left in the April cycle. She then made a payment of $400 with 10 days left in the April cycle. The April cycle is 30 days long. The credit card's APR is 24%. Using the previous balance method, how much interest is Mary charged for the April cycle?

Mary owed $800 on a credit card at the end of the March billing cycle. She made a purchase of $600 with 20 days left in the April cycle. She then made a payment of $400 with 10 days left in the April cycle. The April cycle is 30 days long. The credit card's APR is 24%. Using the previous balance method, how much interest is Mary charged for the April cycle?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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