Question

Bella Sandino failed to pay her cell phone bill in the amount of $85.14 by the due date of March 4. Calculate the amount Bella must pay on March 20 if the company charges 20% interest on late payments. Assume a 365-day year.

Answer 1

 $85.14/ 100= 0.8514 x 20= 17.028 + 85.14 = $102.168

Answer 2

85.14*(1 +0.20*16/365) = 85.89