18
QuizMultiple Choice

Consumer Responsibilities

Question 18 • [PERFIN] Personal Finance, Sem 2 (26-27)

A consumer charges a $2,530.16 purchase on a credit card. The card has a daily interest rate of 0.042%. If the balance is paid off at the end of 30 days, how much interest will the consumer pay?

Answer
A
$0.32
B
$3.19
C
$31.88
D
$318.78

Explanation

Convert the daily rate of 0.042% to a decimal: 0.00042. Then calculate interest for 30 days: $2,530.16 × 0.00042 × 30 = about $31.88. The consumer pays $31.88 in interest, which is choice C.

AI-written and checked against the verified answer.

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