A credit card calculates interest using the average daily balance method. The card charges 23.4% annual interest rate on the average daily balance. The following transactions occurred during the March 1 – March 31 billing period.

Question

anonymous · Answer

Let me think

anonymous · Answer

A=P(1+rn)nt this is the formula

anonymous · Answer

A = Account Balance
P = Principal Amount
r = Annual interest rate in decimal
n = compounding period (compounded how many times a year)
t = years invested  ( here t will be in days because of average daily balance)