2. Average Daily Balance and Finance Charges. Talika Sampson, an antiques dealer from Wilmington, North Carolina, received

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2. Average Daily Balance and Finance Charges. Talika Sampson, an antiques dealer from Wilmington, North Carolina, received her monthly billing statement for April for her MasterCard account. The statement indicated that she had a beginning balance of $600, on day 5 she charged $150, on day 12 she charged $300, and on day 15 she made a $200 payment. Out of curiosity, Talika wanted to confi rm that the fi nance charge for the billing cycle was correct.

(a) What was Talika’s average daily balance for April without new purchases?

(b) What was her fi nance charge on the balance in part

(a) if her APR is 19.2 percent?

(c) What was her average daily balance for April with new purchases?

(d) What was her fi nance charge on the balance in part

(c) if her APR is 19.2 percent?

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Personal Finance

ISBN: 9781439039021

10th Edition

Authors: E Thomas Garman, Raymond E Forgue

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