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average daily balance for the month excluding the new purchase is
$750. Sarah's interest rate is 1.5% for the month. Sarah's bank
calculates the finance charge on the credit card by using the average
daily balance, excluding new purchases. What would Sarah's finance
charges be for the month?
$7.50
$13.25
$18.00
$15.00
$11.25
Question 17. If Jeff rushes to purchase a home by obtaining an
interest-only loan, and the reason why he wants a home is because he
wants to have a house just like the one that his parents had when he
was a teenager, this is an example of which of the following?
Misunderstanding or lack of communication
The use of money to punish
Overindulgence of children
Keeping up with the Joneses
The expectation of instant comfort
Question 18. Over time, which method of payment is likely to be the
least expensive?
Bank credit card
Check written on a home equity line of credit (HELOC)