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Alekssandra [29.7K]
3 years ago
8

A credit card bill for $559 was due on September 14. Purchases of $289 were made on September 19, and $15 was charged on Septemb

er 28. A payment of $250 was made on September 25. The annual interest on the average daily balance is 19.5%. Find the finance charge due (in dollars) on the October 14 bill. (Use 365 for the number of days in a year. Enter a number. Round your answer to the nearest cent.)
Mathematics
1 answer:
Sunny_sXe [5.5K]3 years ago
3 0

Answer: $623

Step-by-step explanation:

calculation of Finance charge due on October 14

(+) $ 559 due on sep 14, $ 559 * (19.5*31) / (100 * 365) = $ 9.20

(+) purchase $ 289 on sep 19, $ 289 * (19.5*26 ) / (100 * 365) = $ 2.42

(+) finance charge on sep 28, $ 18 *(19.5*17 ) / (100 * 365) = $ 0.17

(-) Repayment on 25 sep , $ 250 * (19.5*20 ) / (100 * 365) = (2.745)

Total finance charges from 14 sep to 14 oct = $ 9.7= appr. 10

Amount due on 14 October = $559+$289+$15+$11.855- $250

= $ 623

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<h2>Hello!</h2>

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Hence, the answer is:

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