Antonio's credit card has an APR of 16.65%, and it calculates his finance charge by using the daily balance method and a 30-day billing cycle. On June 1st, Antonio had a balance of $811.67. During the month of June, he made a payment of $110.16 and a purchase of $84.04. How much greater will his June finance charge be if the purchase occurred on June 5th and the payment occurred on June 23rd than it would be if the payment occurred on June 5th and the purchase occurred on June 23rd?
From June 5 through June 22, the first timing makes the balance higher by both the $84.04 purchase and the $110.16 payment: $84.04 + $110.16 = $194.20. The difference in finance charges is $194.20 × (0.1665 ÷ 365) × 18 days = about $1.59. So the June finance charge is $1.59 greater, choice B.
AI-written and checked against the verified answer.