Aaron Had an Unpaid Balance of $1427

Multiple Choice

Aaron had an unpaid balance of $1427.57 on his credit card statement at the beginning of August. He made a payment of $245.00 during the month, and made purchases of $205.97. If the interest rate on Aaron's credit card was 19.5% per month on the unpaid balance, find his finance charge and the new balance on September 1.

A) Finance charge = $281.49; new balance = $1670.03
B) Finance charge = $280.70; new balance = $1669.24
C) Finance charge = $278.38; new balance = $1666.92
D) Finance charge = $277.59; new balance = $1666.13