A financing fee is computed by taking your annual percentage rate, or APR, the amount you owe, and the time period into account.
<h3>What is finance charge of credit card?</h3>
The interest you'll pay on a loan is defined as a finance charge, and it's most commonly used in the context of credit card debt. A financing fee is computed by taking your annual percentage rate, or APR, the amount you owe, and the time period into account.
Given that,
Interest rate = 15.5%
Date: 1-3 (3 days)
Average daily balance = amount paid × day
= $200 × 3 = $600
Date: 4-20 (17 days)
Average daily balance = amount paid
= $300 × 17 = $5100
Date: 21-30 (10 days)
Average daily balance = amount paid × days
= $150 × 10 = $1500
So, total average daily balance for the month
= $(600+5100+1500)
= $7200
Now, the finance charge = $7200 × (15.5÷1
= $93.00
Therefore, A financing fee is computed by taking your annual percentage rate, or APR, the amount you owe, and the time period into account.
To know more about finance charge refer to,
brainly.com/question/22717601
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