A credit card balance at the beginning of the month is $6,000. on the fourth day a $200 charge is made. on the tenth day a $1500 payment is made. on the seventeenth day a $200 charge is made, and a $100 payment. on the twentieth day a $500 charge is made. using the average daily balance method, Caculate the interest charged if the account had a 16.5% rate and the billing period is 31 days.

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter7: Accounting Information Systems
Section: Chapter Questions
Problem 5EA: Catherines Cookies has a beginning balance in the Accounts Payable control total account of $8,200....
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A credit card balance at the beginning of the month is $6,000.

on the fourth day a $200 charge is made.

on the tenth day a $1500 payment is made.

on the seventeenth day a $200 charge is made, and a $100 payment.

on the twentieth day a $500 charge is made.

using the average daily balance method, Caculate the interest charged if the account had a 16.5% rate and the billing period is 31 days.

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