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29 April, 13:33

A credit card charges an annual interest rate of 23.5%. If you borrowed $200, what is the interest for three months?

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  1. 29 April, 16:59
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    A credit card charges an annual interest rate of 23.5%

    Amount borrowed = $200

    to find the interest for the given time we have to apply the formula Interest = Amount borrowed * percentage * given time / 100

    By applying formula we get our interest for three months = 200 * 23.5*025/100 = $11.75 (Ans)

    (we have written here 0.25 as interest was calculated for three months and one year has twelve months so 3/12 = 0.25)
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