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Mrs. Wang has been approved for a personal (revolving) line of credit with National Bank at prime plus 2%. On the 15 th of each
Mrs. Wang has been approved for a personal (revolving) line of credit with National Bank at prime plus 2%. On the 15th of each month, interest is calculated (up to but not including the 15th) and deducted from her chequing account. If the initial loan of $25,000 on July 2 was followed by a further advance of $30,000 on July 28, how much interest was charged on August 15. The prime rate was at 3% on July 2 and fell to 2.75% on August 5. Show all rough work (complete the table filling in all blank information)
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