Question

Pearl has a credit card that uses the adjusted balance method. For the first 10 days of one of her 30-day billing cycles, her balance was $1120. She then made a purchase for $340, so her balance jumped to $1460, and it remained that amount for the next 10 days. Pearl then made a payment of $580, so her balance for the last 10 days of the billing cycle was $880. If her credit card's APR is 27%, which of these expressions could be used to calculate the amount Pearl was charged in interest for the billing cycle?

Answer 1

Answer: OML it’s (0.27/365•30)($540)

Explanation:

Y’all are giving people the wrong answers .

Answer 2

The amount Pearl was charged in interest for billing cycle = $19.8

Explanation:

Starting balance of Pearl for first 10 days of her 30 days billing cycle =$1120

Purchase made = $ 340

Total Balance after purchase made = $1120 + $340

= $1460

Payment made after 10 days = $580

Balance for last 10 days = $1460 - $580

= $880

Credit Card APR = 27% Annually

`\text{Credit Card APR = }(27)/(12)= 2.25\%\text{ monthly}`

Amount charged as an interest for billing cycle = 880 × 2.25%

= 880 × 0.0225

= $19.8

Hence, The amount Pearl was charged in interest for billing cycle = $19.8