Final answer:
Retailers that issue their own credit cards have the option to charge interest if payment in full is not made within a certain time after the sale. Therefore, the correct option is B.
Step-by-step explanation:
Retailers that issue their own credit cards have the option to charge interest if payment in full is not made within a certain time after the sale. This means that if a customer fails to pay off the credit card balance within a specified period, the retailer can add interest charges to the amount owed. For example, if a credit card agreement states that interest will be charged on unpaid balances after 30 days, the retailer can begin charging interest on the 31st day.
To illustrate, let's say a retailer sells a product with a price of $100 to a customer who uses their credit card. If the customer fails to pay the entire $100 within the specified time, the retailer can add interest charges, such as 2% per month, to the unpaid amount. In this case, if the customer doesn't pay within the given time, they would owe the retailer the original $100 plus $2 in interest for the first month.
Therefore, the correct answer to the question is b. charge interest; payment in full. Retailers have the option to charge interest if payment is not made within a certain time after the sale.