Given:
Dana has to maintain a minimum balance of $1000 to avoid a monthly service fee.
Her balance at the beginning of this month was $1096.03.
Dana's transactions in this month has been a direct deposit of $613.72 on the 2nd of the month, a check written by Dana on the 5th of the month to her landlord for $700 that cleared the next day, and a cash deposit of $200 on the 8th of the month.
To Find:
Whether Dana has to pay the monthly service fee.
Answer:
Dana's account balance did not go below $1000 at any point in the month, so she will not have to pay the monthly service fee.
Step-by-step explanation:
Dana's balance at the beginning of the month was $1096.03.
According to the question, Dana's transactions involve
- a direct deposit of $613.72
- a rent check to her landlord of $700
- a cash deposit of $200
After the first transaction (the direct deposit), Dana's balance would be $1096.03 + $613.72 = $1709.75
Next, after the rent check, Dana's account is debited with $700. So, her account balance will now be $1709.75 - $700 = $1009.75
Finally, after the cash deposit of $200, the account balance is $1009.75 + $200 = $1209.75
So, as Dana's account balance has not gone below $1000, she will not have to pay the monthly service fee.
