Question
Tourist Trap souvenir shop has a business line of credit with an annual percentage rate of prime plus 4.5%. The starting balance was $16,900 on
Tourist Trap souvenir shop has a business line of credit with an annual percentage rate of prime plus 4.5%. The starting balance was $16,900 on March 1. On March 7 Tourist Trap borrowed $4024.99 to pay for a shipment of Tshirts and hoodies. On March 18, a payment of $2535 was made. On March 24 Tourist Trap borrowed an additional $3990 to pay for air conditioning repairs. The current prime rate is 4.25%.
What is the finance charge for March? $
What is the new balance as of April 1? $
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Here are the steps to solve this problem Prime rate on March 1 is given as 425 The APR on the line ...
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Fundamental financial accounting concepts
Authors: Thomas P. Edmonds, Frances M. Mcnair, Philip R. Olds, Edward
8th edition
978-007802536, 9780077648831, 0078025362, 77648838, 978-0078025365
