Question

What is the monthly interest payment for an

account with a balance of $120.00 and an A.P.R.
of 10%?
A. $12.00
C. $10.00
B. $1.00
D. $4.00

Answer 1

B. $1.00

Step-by-step explanation:

Here,

=10% of $120

=$12

Then,

or, 1 year = 12 months

or, 12 months = $12

1 month = $1

So, the monthly interest payment for an

account with a balance of $120.00 and an A.P.R. of 10% is option b, $1.