Question

1. Find the interest generated by a balance of $7800 on a credit card charging 27.8% interest per year over a 30 day period using Banker’s Rule.

Answer 1

Answer:

the interest generated over 30 days using banker's rule is $180.7

Step-by-step explanation:

balance =  $7800

credit card charging interest rate per year = 27.8%

interest generated over a 30 day  period =

                                  = P × R ×T

                    = $7800\times 0.278\times \dfrac{30}{360}$

                                  =   $180.7

hence, the interest generated over 30 days using banker's rule is $180.7