Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Here is Donna's credit card statement for the month of August. Date Transaction Transaction amount $2650.70 $900.50 August 1 Beginning balance August 10 Purchase August

image text in transcribedimage text in transcribed

Here is Donna's credit card statement for the month of August. Date Transaction Transaction amount $2650.70 $900.50 August 1 Beginning balance August 10 Purchase August 16 Payment August 19 Purchase $842.00 $280.14 (a) Use the credit card statement to help fill in the table below. Note that there are 31 days in August. Also, a purchase increases the unpaid balance, and a payment decreases the unpaid balance. Transaction Date Transaction Unpaid balance Number of days at that balance X amount August 1 Beginning balance August 10 Purchase Unpaid Number balance of days $23,856.30 $0 so $0 Total: sa $2650.70 $2650.70 9 days (from August 1 through August 9) $900.50 $3551.20 days (from August 10 through August 15) $842.00 $0 3 days (from August 16 through August 18) $280.14 si 13 days (from August 19 through August 31) Total: 31 days August 16 Payment August 19 Purchase (b) Find the average daily balance. Write your answer to the nearest cent. sc (C) Suppose the credit card company charges an interest rate of 1.5% on the average daily balance for August found in part (b). How much interest will be charged? Write your answer to the nearest cent. s[] (d) What will Donna's beginning balance be for the month of September (including the interest for August found in part (C))? si

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Victorian Literature And Finance

Authors: Francis O'Gorman

1st Edition

0199281920, 978-0199281923

More Books

Students also viewed these Finance questions