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David has a credit card with an apr of 13.59% and a 30-day billing cycle. the table below details david’s transactions with that credit card in the month of november. date amount ($) transaction 11/1 1,998.11 beginning balance 11/5 43.86 purchase 11/16 225.00 payment 11/23 61.21 purchase between the previous balance method and the daily balance method, which method of calculating david’s november finance charge will result in a greater finance charge, and how much greater will it be? a. the daily balance method will have a finance charge $1.59 greater than the previous balance method. b. the daily balance method will have a finance charge $0.40 greater than the previous balance method. c. the previous balance method will have a finance charge $0.96 greater than the daily balance method. d. the previous balance method will have a finance charge $2.55 greater than the daily balance method.

Respuesta :

A credit card is a line of credit that can be used to borrow money, option c explains the solution.

What is the basic definition of a credit card?

A credit card is a line of credit that can be used to borrow money to make purchases, transfer balances, and get cash advances, with the understanding that you will repay the money borrowed — plus any interest owed — at a later date.

Option c. The previous balance method will incur a $0.96 finance charge over the daily balance method.

Therefore, option c. explains the credit card.

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