Phillip charged $400 worth of goods on his credit card. On his first bill, he was not charged any interest, and he made a payment of $20. He then charged another $18 worth of goods. On his second bill a month later, he was charged 2% interest on his entire unpaid balance. How much interest was Phillip charged on his second bill ?
+36916 Original balance 400
paid 20
new balance = 380 charged additional 18
new balance 398 interest of 2% on this entire amount
.o2 x 398 = $ 7.96 interest
