select the correct answer.\n\nwhat is the monthly finance charge if the average daily balance is $30, the…

Explanation:

Step1: Identify the finance charge formula

The monthly finance charge is calculated by multiplying the average daily balance, the daily periodic rate, and the number of days in the billing cycle. $$Finance\ Charge = Average\ Daily\ Balance \times Daily\ Periodic\ Rate \times Number\ of\ Days$$

Step2: Convert the percentage to decimal

The daily periodic rate is $0.07%$. To use it in the calculation, convert it to a decimal by dividing by $100$. $$0.07% = \frac{0.07}{100} = 0.0007$$

Step3: Substitute values into the formula

Substitute $$30$ for the balance, $0.0007$ for the rate, and $30$ for the days. $$Finance\ Charge = 30 \times 0.0007 \times 30$$

Step4: Calculate the total charge

Perform the multiplication to find the charge in dollars. $$Finance\ Charge = 30 \times 0.021 = 0.63$$

Step5: Convert dollars to cents

Since the options are in cents, multiply the result by $100$. $$0.63 \times 100 = 63\text{¢}$$

Answer:

B. 63¢