Suppose you have a credit card balance of $500 that you were unable to pay off the previous month.

• During the current month you purchase another $300 worth of products on the first day of the billing period
• You make no purchases the remainder of the month.
• At the end of the 15th day of your billing period (the mid-point), you made a payment of $400.

Assuming your retail credit card company charges an annual interest rate of 24% using the Average Daily Balance Method, compute your new balance at the end of the current month.

Show Calculation.