a. Find the average daily balance for the billing period. Round to the nearest cent. 4 The average daily balance for the billing period is $. (Round to the nearest cent as needed.)

Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)
7th Edition
ISBN:9780357033609
Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk
Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk
Chapter4: Managing Your Cash And Savings
Section: Chapter Questions
Problem 5FPE: Calculating the net costs of checking accounts. Determine the annual net cost of these checking...
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The credit card with the
transactions described on the right
uses the average daily balance
method to calculate interest. The
monthly interest rate is 2.5% of the
average daily balance. Calculate
parts a-d using the statement on
the right.
Transaction
Amount
Transaction Description
Previous balance, $6230.00
March 1 Billing date
March 5 Payment
$300.00 credit
$60.00
March 7 Charge: Restaurant
March 12 Charge: Groceries
$70.00
March 21 Charge: Car Repairs $240.00
March 31 End of billing period
Payment Due Date: April 9
a. Find the average daily balance for the billing period. Round to the nearest cent.
4
The average daily balance for the billing period is $
(Round to the nearest cent as needed.)
Transcribed Image Text:The credit card with the transactions described on the right uses the average daily balance method to calculate interest. The monthly interest rate is 2.5% of the average daily balance. Calculate parts a-d using the statement on the right. Transaction Amount Transaction Description Previous balance, $6230.00 March 1 Billing date March 5 Payment $300.00 credit $60.00 March 7 Charge: Restaurant March 12 Charge: Groceries $70.00 March 21 Charge: Car Repairs $240.00 March 31 End of billing period Payment Due Date: April 9 a. Find the average daily balance for the billing period. Round to the nearest cent. 4 The average daily balance for the billing period is $ (Round to the nearest cent as needed.)
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