A credit card account had a balance of P 5 000 onOctober 12. A purchase of P1500 was made on October15 and a payment of P 3 500 was made on October 25.Find the finance charge if the billing date is on November12 and the interest rate is 2.5% per month.Answer:

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Answered: A credit card account had a balance of…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Use the unpaid balance method to find the finance charge on the credit card account for August. The starting balance from the previous month is $240. The transactions on the account for the month are given in the table to the right. Assume an annual interest rate of 21% on the account and that the billing date is August 1st.

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A credit card account had a balance of P 5 000 on October 12. A purchase of P1500 was made on October 15 and a payment of P 3 500 was made on October 25. Find the finance charge if the billing date is on November 12 and the interest rate is 2.5% per month.