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R&R Savings Bank finds that its basic transaction account, which requires a $ 1 , 0 0 0 minimum balance, costs this bank an average
R&R Savings Bank finds that its basic transaction account, which requires a $ minimum balance, costs this bank an average of $ per month in servicing costs including labor and computer time and $ per month in overhead expenses. The bank also tries to build in a $ per month profit margin on these accounts.
Further analysis of customer accounts reveals that for each $ above the $ minimum in average balance maintained in its transaction accounts, R&R Savings saves about percent in operating expenses with each account. Note: If the bank saves about percent in servicing cost for each $ held in balances above the $ minimum, then a customer maintaining an average monthly balance of $ should save the bank percent in servicing costs For a customer who consistently maintains an average balance of $ per month, how much should the bank charge this customer every month in order to protect its profit margin? Show your answer to the nearest two decimals, enter. $ as
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