Calculate the finance charge for a credit card that has the given average daily balance and interest rate. (Round your answer to the nearest cent.)Average daily balance: $111.06; monthly interest rate: 1.85%

Q: person borrows $2,850 on a bank credit card at a nominal rate of 18% per year, which is actually…

A: a.  Annual Percentage Yield      APY =[ (1+r)^n - 1]       APY = [(1+0.015)^12-1]       APY…

Q: Calculate the finance charge for a credit card that has the given average daily balance and interest…

A: Charges that must be paid in order to avail of the credit card services are referred to as finance…

Q: You currently have a credit card with a balance of $450. If you have a credit limit of $2,000, what…

A: In order to find out the credit utilization rate, we need to divide the credit availed by total…

Q: Suppose you have received a credit card offerfrom a bank that charges interest at 1.4% per…

A: Working note:

Q: The balance on a credit card, that charges a 10.5% APR interest rate, over a 1 month period is given…

A: Interest rate = 10.5% Initial balance = $150  Number of days = 1-3 is 3 days Number of days = 4-20…

Q: Using the unpaid balance method, find the current month's finance charge on a credit card account…

A: The Finance charge is basically the expense or cost which one incurs whether being the individual,…

Q: Calculate the finance charge for a credit card that has the given average daily balance and interest…

A: Given: Average daily balance = $118.27 Monthly interest rate = 1.15% Time = 1 month

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: The average balance method used the average balance in a month to calculate the finance charges.…

Q: (a) During the September 20 through October 19 billing period, you pay the minimum required payment…

A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: calculate the monthly principal and interest, PI (in $),

A: Re-payment of loan consist of payment of principal and interest. Annuity is the payment of fixed…

Q: A credit card has an average daily balance of ​$2,833.84 and the monthly periodic rate is 1.337​%.…

A: Finance Charges for the month  = Average Daily balance X Periodic Rate

Q: A credit card has an average daily balance of $2,861.56 and the monthly periodic rate is 1.295%.…

A: Average Daily Balance of Credit Card = $2,861.56 Monthly Interest Rate = 1.295%

Q: Calculate the monthly finance charge for the credit card transaction. It takes 10 days for a payment…

A: We will calculate the interest on the basis of simple interest.

Q: Calculate the finance charge for a credit card that has the given average daily balance and interest…

A: Finance charge It is the charge related to money borrowed over a period of time. It includes the…

Q: Use the average daily method to find the finance charge on the credit card account for September…

A: Average daily balance is a method in which balance for each day is calculated. Sum of each day…

Q: The First Bank of Lending lists the following APR for loans. Determine the APY, or effective…

A: APR is the annual rate of interest which is charged on a loan. The borrower needs to make loan…

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: The question is based on the calculation of financial charges on a credit card. The Financial…

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: As per the previous balance method Calculation of finance charges for a billing cycle, uses the…

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: Information Provided: Balance = $4000 Rate = 16% Payment = $2500 Days it take for payment = 10 Days

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: Given information : Time it takes for payment = 10 days Length of month = 30 days Balance = $475…

Q: You have recently seen a credit card advertisement that states that the annual percentage rate is…

A: The effective annual rate can be calculated as per the formula of EAR

Q: A credit card bill shows a balance due of $1200 with a minimum payment of $24 and a monthly interest…

A: Calculate the effective annual rate (EAR) as follows:

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: The term finance charge refers to the cost of borrowed money or the charges that are incurred on the…

Q: Determine the finance charge for a credit card that has the given average daily balance and interest…

A: Finance charge can be defined as that charge which a borrower is required to pay to the lender for…

Q: Bank ABC is offering a rate of return of 12.25% APR compounded daily on its credit cards.  What…

A: Nominal Rate of return is 12.25% Compounding frequency is 365(as compounded daily) To Find:…

Q: FILA Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10…

A: Given: Particulars Amount Opening balance 350 Interest rate 18% Payment 300 Days 10…

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: Average Daily method: in this method for a billing cycle Each day Balance is Divided by the Total…

Q: You charged $3,172 on a credit card. If you pay the minimum payment per month of $46.69, you will…

A: Charge of credit card = 3172 Minimum monthly payment = 46.69 N = 96 payments

Q: which of the following banks would you choose for a savings account based on the following rates…

A: Banks provide interest on deposited amount at fixed rate. Higher the rate, higher will be the…

Q: A credit card bill shows a balance due of $2500 with a monthly interest rate of 1.53%.  What is the…

A: The formula to calculate effective annual rate is given below:

Q: Use the average daily method to find the finance charge on the credit card account for September…

A: Finance charge refers to the fees charged by the financial institution for providing credit card…

Q: Your credit card statement says that the card has a 0.0562% interest per day. What is the actual…

A: In this question we require to compute the actual annual interest rate if daily interest rate is…

Q: The balance on a credit card, that charges a 20% APR interest rate, over a 1 month period is given…

A: Credit card is a facility provided by the credit card companies to its customers in which customer…

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: No.of days for a payment to be received and recorded = 10 days Balance = $200 Interest rate = 17%…

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: 1. Previous Balance Method = Finance Charge is calculated on the amount which is outstanding at end…

Q: Calculate the finance charge for a credit card that has a given average daily balance and…

A: Credit card charges interest on basis of monthly.

Q: Use the average daily balance method to compute the finance charge on the credit card account for…

A: Average daily balance considers the balance after each day.

Q: Suppose you have a revolving credit account at an annual percentage rate of 12%, and your previous…

A: Cash and cash equivalents mean the cash or the assets which can be converted into cash within a very…

Q: Calculate the bank discount and proceeds (in $) for the simple discount note. Use the ordinary…

A: Bank discount  = face value  × discount rate × number of years

Q: Macapagal Bank advertises savings account interest as 5.5 percent compounded weekly and chequing…

A: Because it accounts for the effects of compounding, the effective annual interest rate is the…

Q: Calculate the monthly finance charge for the credit card transaction. Assume that it takes 10 days…

A: As per previous balance method, the interest is ascertained on the outstanding balance at the end of…

Q: Suppose you have received a credit card offer from a bank that charges interest at 1.1% per quarter,…

A: The nominal rate is the rate that the financial institution quotes when giving out or receiving…

Q: Using the unpaid balance method, find the current month's finance charge on a credit card account…

A: Unpaid Balance Method: It is the method where finance charges are calculated based on previous…

Credit card

A credit card is provided by financial institutions or banks, which permits a person to borrow money on a preapproved limit for purchases on a credit basis. The credit limit is decided by the institution and bank which issues a credit card depending on the person’s credit score and income. A cardholder can use the card for credit purchases, a balance transfer, cash advances.