Here is Eric's credit card statement for the month of August.TransactionDateTransactionamountAugust 1Beginning balance$1500.25August 10 Purchase$68.09August 14 Purchase$570.70August 26 Payment$450.00(a) Use the credit card statement to help fill in the table below. Note that there are 31 days in August. Also, a purchaseincreases the unpaid balance, and a payment decreases the unpaid balance.Unpaid Numberbalance of daysTransactionUnpaidAaDateTransactionNumber of days at that balanceamountbalance9 days (from August 1 throughBeginningbalance$1500.25 $1500.25August 1$13,502.25August 9)O days (from August 10 throughAugust 10 Purchase$68.09 $1568.34August 13)12 days (from August 14 throughAugust 14 Purchase$570.70August 25)6 days (from August 26 throughAugust 26 Payment$450.00August 31)Total: 31 daysTotal: $(b) Find the average daily balance. Write your answer to the nearest cent.(c) Suppose the credit card company charges an interest rate of 1.6% on the average daily balance for Augustfound in part (b). How much interest will be charged? Write your answer to the nearest cent.(d) What will Eric's beginning balance be for the month of September (including the interest for August found inpart (c))?

Here, Beginning Balance is $1,500.25 Purchase on Aug 10 is $68.09 Purchase on Aug 14 is $570.70…

Answered: Here is Eric's credit card statement…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 4Q: American Signs allows customers to pay with their Jones credit card and cash. Jones charges American...

See similar textbooks

Similar questions

Español Here is Miguel's credit card statement for the month of November. Transaction Date Transaction amount November 1 Beginning balance $1550.20 November 16 Purchase $200.50 November 23 Payment $472.00 November 25 Purchase $540.53 (a) Use the credit card statement to help fill in the table below. Note that there are 30 days in November. Also, a purchase increases the unpaid balance, and a payment decreases the unpaid balance. Unpaid Number balance of days Transaction Unpaid balance Date Transaction Number of days at that balance amount Beginning $1550.20 $1550.20 15 days (from November 1 through $23,253.00 November 1 balance November 15) O days (from November 16 through November 22) 2 days (from November 23 through November 16 Purchase $200.50 $1750.70 November 23 Payment $472.00 November 24) 6 days (from November 25 through November 25 Purchase $540.53 November 30) Total: 30 days Total: $I ? (b) Find the average daily balance. Write your answer to the nearest cent. (c) Suppose the…
Here is Deon's credit card statement for the month of November. Date Transaction November 1 November 7 November 19 November 26 Payment Beginning balance Payment Purchase Date (a) Use the credit card statement to help fill in the table below. Note that there are 30 days in November. Also, a purchase increases the unpaid balance, and a payment decreases the unpaid balance. Transaction amount $2900.06 $540.00 $35.45 $700.00 Transaction November 1 Beginning balance November 7 Payment November 19 Purchase November 26 Payment Transaction amount Unpaid balance Number of days at that balance $2900.06 $2900.06 6 days (from November 1 through November 6) $540.00 $2360.06 $35.45 $700.00 days (from November 7 through November 18) $7 days (from November 19 through November 25) $5 days (from November 26 through November 30) Total: 30 days Unpaid Number balance of days X $17,400.36 $ $ $ Total: $
Using the table, what is the average daily balance of the credit card for the August 1 through August 31 billing period? Round your answer to the nearest dollar. Provide your answer below: Day Activity Adjustment Closing Balance 1 950 8 Payment -400 550 16 Purchase +250 800 24 Purchase +100 900
The table below shows a summary of Carmen's credit card statement for the month of November. Transaction types Unpaid balance from October (Beginning balance on November 1) Purchases made during the month of November Payments made during the month of November Complete the parts below. Write your answer to the nearest cent. Amount $2677.32 $443.70 $386.60 (a) Suppose the credit card company charges 1.82% monthly interest on the unpaid balance from October. How much interest will this be? $0 (b) What will Carmen's unpaid balance be on her December 1 statement? (Assume that this balance will include the interest from part (a), but will not include any interest on her November balance yet.) $0
Calculate the average daily balance (in $) for October for a revolving credit account with a previous month's balance of $110 and the following activity. (Round your answer to the nearest cent.)
Here is Christine's credit card statement for the month of October. Transaction Date Transaction 00 amount October 1 Beginning balance $2600.06 October 7 Payment $960.00 October 14 Purchase $62.85 October 20 Payment $700.00 (a) Use the credit card statement to help fill in the table below. Note that there are 31 days in October. Also, a purchase increases the unpaid balance, and a payment decreases the unpaid balance. Transaction Unpaid Unpaid Number balance of days Date Transaction Number of days at that balance amount balance Beginning 6 days (from October 1 through October 1 $2600.06 $2600.06 S15,600.36 balance October 6) | days (from October 7 October 7 Payment $960.00 $1640.06 through October 13) 6 days (from October 14 October 14 Purchase $62.85 through October 19) 12 days (from October 20 October 20 Payment $700.00 through October 31) Total: 31 days Total: $I (b) Find the average daily balance. Write your answer to the nearest cent. (c) Suppose the credit card company charges an…
Calculate the average daily balance (in $) for October for a revolving credit account with a previous month's balance of $120 and the following activity. (Round your answer to the nearest cent.) Date Activity Amount October 3 Cash advance $50.00 October 7 Payment $75.00 October 10 Purchase $28.59 October 16 Credit $10.00 October 25 Purchase $124.60 average daily balance = $?
Here is Ahmad's credit card statement for the month of November. Transaction Date Transaction amount November 1 Beginning balance $1500.03 November 15 Payment $540.00 November 21 Purchase $28.85 November 25 Payment $200.00 (a) Use the credit card statement to help fill in the table below. Note that there are 30 days in November. Also, a purchase increases the unpaid balance, and a payment decreases the unpaid balance. Transaction Unpaid Number of days at that Unpaid Number balance" of days Date Transaction amount balance balance Beginning 14 days (from November 1 through November 14) O days (from November 15 through November 20) 4 days (from November 21 November 1 $1500.03 $1500.03 $21,000.42 balance November 15 Payment $540.00 $960.03 November 21 Purchase $28.85 through November 24) 6 days (from November 25 November 25 Payment $200.00 through November 30) Total: 30 days Total: $ (b) Find the average daily balance. Write your answer to the nearest cent. (c) Suppose the credit card…
Sullivan Equipment Sales showed the following. 2020 Jan. 15 Sold $25,000 of nerchandise for $29, e00 to JanCo; terms 3/5, n/15. 16 krote off Fedun's account in the anount of $15,000. 20 Collected the anount owing tron the January 15 sale. 1 Accepted a $12,000, 68-day, 7% note dated this day in granting Parker Holdings a tine extension on its past-due account. Mar. Apr. 15 Sold nerchandise costing $62,000 for $71,000 to custoners who used their Visa credit cards. Assune Visa charges a 1% fee and deposits the cash electronically into the retaller's account innediately at the time of sale. ? Parker Holdings honoured the note dated March 1. 1 Accepted a $24,e00, three-nonth, 6X note dated this day in granting Grant Conpany a time extension on its past-due Nov. account. Dec. 31 Sullivan's year-end. Interest was accrued on outstanding notes receivable. 31 Bad debts are based on an aging analysis that estinated $9,700 of accounts receivable are uncollectible. Allowance for Doubtful Accounts…
The credit card with the itemized billing statement below uses the average daily balance method to calculate interest. The monthly interest rate is 1.7%. Find the minimum monthly payment due on July 9 if the minimum monthly payment is 1/25th of the balance due on July 1st, rounded up to the nearest dollar. Show work. Transaction description Previous balance, $2645.04 Billing Date Payment Charge: Gas Charge: groceries End of billing period June 1 June 6 June 8 June 17 June 30 Payment Due Date: July 9 Transaction amount $1800.00 credit $41.37 $130.01
The credit card with the transactions described in the popup below uses the average daily balance method to calculate interest. The monthly interest rate is 1.5% of the average daily balance. Calculate parts a-d using the statement in the popup. a. Find the average daily balance for the billing period. Round to the nearest cent. The average daily balance for the billing period is $__?
Using the table, what is the average daily balance of the credit card for the July 1 - July 31 billing period? Round your answer to the nearest cent. Day Activity Adjustment Closing Balance 1 ----- ------ 8000 9 Payment −700 7300 19 Purchase +550 7850 27 Payment −600 7250

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

SEE MORE TEXTBOOKS