The VISA CREDIT CARD charges 3% interest per month on the unpaid balance for purchases made on this card. Compute the effective rate of interest.   a. 0.4258   b. 0.3904   c. 0.4049   d. 0.384

Q: You have a balance of $1000 on your Visa credit card. Assume that you make no more charges on the…

A: Initial Balance = $1000 Annual Charges(r) = 9.9% = 0.099 n = monthly payments = 12 in a year…

Q: A credit card has a monthly rate of 2.20% and uses the average daily balance method for calculatin…

A: Given that: Credit card monthly rate = 2.20% Unpaid balance = $418.44 Payment received = $180…

Q: Peter's credit card statement for October showed these items: 10/1, previous balance, PI,080.15;…

A: answer with calculation are as follows:

Q: 7. The following table show's a credit cardholder's transactions for his credit card with statement…

A: The answer is stated below:

Q: A credit card bill for $655 was due on April 14. Purchases of $155.56 were made on April 19. The…

A: A credit card bill for $655 was due on April 14April 19 purchase=$155.56Charge on April…

Q: The collection of a $900 account after the 2 percent discount period will result in a a. debit to…

A: The cash has been received after the discount period that shows that the discount would not be…

Q: Fill in the chart below using the information for Credit Card Finance. Mike starts with $1299.99…

A: APR is Annual Percentage Rate  it is expressed as interest rate.  and  charged to borrowers and paid…

Q: The billing cycle for Mr. Lang’s credit card begins on September 8 and ends on October 7. He is…

A: Average daily balance is calculated to determine the finance charge on the billing period of a…

Q: The credit card with the transactions described in the popup below uses the average daily balance…

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

Q: The following table show's a credit cardholder's transactions for his credit card with statement…

A: (a) Carry-Over Balance = Total amount due in previous statement - Payment…

Q: On August 10, a credit card account had a balance of $365. A purchase of $62 was made on August 15,…

A: In credit cards, we can say that finance charges include interest and transaction fees charged on…

Q: he activity in the credit card account of Mara for one billing period shows the following…

A: The activity in the credit card account of Mara for one billing period shows the following…

Q: Find the average daily balance

A: Meaning of Average Daily Balance Average daily balance refers to a method where the credit card…

Q: Cardholders that accept Visa or Mastercard pay the issuer of the card a percentage of the…

A: Hi, since you have posted multiple questions, we will answer the first one, as per authoring…

Q: American Express and other credit card issuers must by law print the Annual Percentage Rate (APR) on…

A: The annual percentage rate(APR) is the interest rate (nominal rate) determined by the credit card…

Q: The activity date, company, and amount for a credit card bill are shown below. The due date of the…

A: Here, Interest rate = 1.7% per month To Find: Finance charge =?

Q: In John​ Balfour's credit card account interest is charged on the average daily balance. The cycle…

A: The finance charge is the amount charged by using some fixed percentage on the borrowed amount by…

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: In John Balfour's credit card account interest is charged on the average daily balance. The cycle…

A: Firstly , calculate the average daily balance : Period  Days Balance amount Total days amount…

Q: On September 1, The business sold merchandise for 33.000 TL (including 10% VAT) FOB Destination. The…

A: Notes payable are the asset of the firm where a borrower gives a written promise to lender to pay…

Q: For the credit card account below, compute the average daily balance, the finance charge, and the…

A: Solution:                                                      Average Daily Balance Date Balance…

Q: credit card bill for $559 was due on September 14. Purchases of $289 were made on September 19, and…

A: Given:   Opening balance as on Sept-14  $ 559.00 Purchases on Sept-19  $ 289.00 Charges in…

Q: On June 22, The business sold merchandise for 11.000 TL (including 10% VAT) FOB Destination. The…

A: Notes: Notes can be defined as a promise made by the borrower to the lender for making the payment…

Q: An unpaid credit card bill for $656.95 had a due date of May 8.  Purchases of $365. were made on May…

A: The question is based on the concept of finance charge calculation for credit card based on the…

Q: A particular credit card calculates interest using the unpaid balance method. The monthly interest…

A: Interest is calculated on unpaid balance method. Interest rate = 1.57% on the unpaid balance on the…

Q: Dallas Pierce’s most recent credit card statement follows. His finance charge is 18% APR. Calculate…

A:

Q: On August 10, a credit card account had a balance of $320. A purchase of $51 was made on August 15,…

A: Here, Credit Card Balance is $320 Purchase on Aug 15 is $51 Payment on Aug 15 is $78 Charged on Aug…

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

A: Average-Daily-Balance shows an estimate amount that is due or held in an account on daily basis. It…

Q: A machine shop has a credit card that offers rebates on purchases. A the end of Hay, the company had…

A: The minimum monthly payment is the smallest amount a client may pay on their revolving credit…

Q: Washington Products offers credit terms of 3/10, n/45. Which of the following statementsis…

A: Given statement is: Washington Products offers credit terms of 3/10, n/45.

Q: On October 13, The business sold merchandise for 198.000 TL (including 10% VAT) FOB Destination. The…

A: The selling of assets is recorded by debiting to notes receivable and crediting the machinery…

Q: Suppose that the balance of a certain credit card is P43,744.53. The credit card company charges…

A: Credit card balance= P43,744.53 Charges= 3.5% per month Total balance owed to the credit card…

Q: Calculate the effective rate per semiannual and annual periods.

A: Effective rate is also called the effective annual rate or the annual equivalent rate. It is the…

Q: 5. On November 10, a customer's credit card had a balance of P12,300. Purchases of P2,450 and P5,600…

A: The finance charge on the credit card is the interest charges for the usage of the credit card.

Q: You have a credit card that charges an interest rate of 14.85% compounded monthly. The table below…

A: A credit card is a debt financing instrument that allows the holder to use funds and pay them back…

Q: O A coshier had credit card sales of8752.40 over the last week, and issued refunds in th If the fee…

A:

Q: A credit card balance at the beginning of November is $4,000. On Nov. 3 a $300 charge is made. On…

A: daily average balance formula: daily average balance =sum of daily balancebilling period

Q: A credit card company determines a card holder's minimum monthly payment by adding all new interest…

A: Total outstanding principal = $592+$429+$120+$104Total outstanding principal = $1245 Total days till…

Q: credit card bill for $657 was due on April 14. Purchases of $155.56 were made on April 19. The…

A: Balance from April 14 th to 18th = 657 April 19th to 20st = 657 + 155.56 = 812.56 April 21st to 24th…

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

A: In credit card there are financial charges based on monthly basis.

Q: 4. The total current amount due to a purchate made by using credit card is PS4,245.50. Based on the…

A: Here in this question, we are require to prepare credit card payment schedule. When any amount…

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

A: First we have to find the average daily balance for the month of April by keeping day-by-day record…

Q: ou owe $1239 on your credit card. Yc nake a minimum payment of $55 eacl month. The rate on the…

A: Credit cards loans are paid by the monthly payment that carry the payment and payment of original…

Q: A credit card statement shows the following activity Compute the finance charge if 1.5% is charged…

A: Credit card statement shows all the payment done by the card and their is some interest would…

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

A: According to the Unpaid balance method: Unpaid balance = Previous balance – Payments Financial…

Q: On August 10, a credit card account had a balance of $335. A purchase of $52 was made on August 15,…

A: The average daily balance can be calculated by dividing the number of days from the sum amount owed…

Q: We sold ABC company merchandise on account for $24,000 They were unable to pay it so we changed it…

A: Accounts receivable has debit balance because it is our assets so if we want to discharge it we have…

Q: A credit card balance at the beginning of the month is $6,000. on the fourth day a $200 charge is…

A: Average daily balance method =Daily balance*no of days/Total no of days outstanding. Days.…

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.