Question

Cynthia's credit card has a limit of $1,000 with an introductory rate of 0%, a late fee of $35, and currently a balance of $0. The card also has an annual fee of $45 which is applied every year in August. Cynthia makes a $75 purchase that shows up on her August bill and she pays $45 before the due date. What will be the balance on Cynthia's credit card?
$45

$65

$35

$75

Answer 1

The balance will be 75 dollars.
Because August is the month in which her annual fee for her credit card charges and she only paid 45 dollars which is for the annual fee. The 75 dollars that she purchased is not yet paid.