Identify two late charge interest calculation methods.
A.
Average Daily Balance
B.
Overdue Transactions
C.
Adjusted Balance
D.
Previous Balance
Explanation:
Interest Calculation Methods
You select the calculation method in the Late Charge Calculation Method field in the Credit Limits
and Late Charges tab of the Customer Profile Class pages, or on the applicable customer or customer
site profile.
The interest calculation methods are:
Average Daily Balance: Calculate late charges based on the average daily balance of overdue
invoices. This method is for balance forward bills only.
Late Payments Only: Calculate late charges based on the number of days between the payment due
date and the actual payment date. This method uses the paid amount as the overdue invoice
amount when calculating the late charge.
Overdue Transactions Only: Calculate late charges for transactions based on the number of days a
payment is late when you submit the Create Late Charges program.
Overdue Transactions and Late Payments: Calculate late charges on both overdue transactions and
late payments. This option levies the largest late charge amount on a customer.Late Charge Interest Calculation Methods: Explained