Question

The opening balance of the January billing cycle for Megan's credit card was $4,805 if she makes a new purchase of 300 on the 20th of January and doesn't make any payments what is the average daily balance

Answer 1

Answer:

$4911.45

Step-by-step explanation:

To find Megan's average daily balance, we first need to assume that the billing cycle begins at January 1st.

Now we know that there are 31 days in the month of January, we will use that as our basis.

20 days x 4805 = First 20 days of the billing cycle.

11 days 4805 + 300 = 21st day of the billing cycle.

31 days in the month

So now we simply add the first 20 days and the days after the 21st day and divide it by the number of days in the month since we're looking for the average.

(20 x 4805 + 11(4805+300))/31

(20 x 4805 + 11(5105))/31

(96100 + 56155)/31

152255/31

This then gives us:

$4911.45

Answer 2

Answer:

The answer is $4911.45

Step-by-step explanation:

The opening balance of the January billing cycle for Megan's credit card was= $4,805

Now given is that a new purchase of $300 is made on the 20th of January and doesn't make any payments

So, equation becomes:

$\frac{20*4805+11(4805+300)}{31}$

= (96100+56155)/31

= $4911.45