A bill for P1024 was due on July 1. Purchases of P315 were made on July 7, and P410 was charged on July 22. A payment of P400 was made on July 15. The interest on the average daily balance is 1.2% per month. Find the finance charge on the August 1 bill.

A bill for P1024 was due on July 1. Purchases of P315 were made on July 7, and P410 was charged on July 22. A payment of P400 was made on July 15. The interest on the average daily balance is 1.2% per month. Find the finance charge on the August 1 bill.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 24Q: Chemical Enterprises issues a note in the amount of $156,000 to a customer on January 1, 2018. Terms...

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Question

1. A bill for P1024 was due on July 1. Purchases of P315 were made on July 7, and P410
was charged on July 22. A payment of P400 was made on July 15. The interest on the
average daily balance is 1.2% per month. Find the finance charge on the August 1 bill.

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