Kevin’s credit card company deter-mines his minimum monthly payment by adding all new interest to 1.5% of the outstanding principal. The credit card company charges an interest rate of 0.05163% per day.

On November 12, Kevin used his credit card to pay for the following business expenses: van repairs ($677), equipment maintenance ($452), office supplies ($139), and dinner with clients ($141).

(a) Assuming Kevin had no new interest, determine his minimum payment due on December 1, his billing date.

(b) On December 1, instead of making his minimum payment, Kevin makes a payment of $300. Assuming there are no additional charges or cash advances, determine Kevin’s minimum payment on January 1.