On February 3, the billing date, Carol Ann Bluesky had a balance due of $128.66 on her credit card. Her Feb. 6 bank charges an interest rate of 1.25% per month and uses the average daily balance method. She made Feb. 13 Feb. 23 Feb. 26 Charge: Art supplies Payment Charge: Flowers delivered |Charge: Music CD $24.12 $110.00 $71.26 $11.41 the transactions described in the table during the month. a) Find Carol Ann's average daily balance for the billing period from February 3 to March 3. Assume it is not a leap year. b) Find the finance charge to be paid on March 3. c) Find the balance due on March 3. d) Compare the result obtained to those obtained using the previous balance method. a) The average daily balance for the billing period was $ (Round to the nearest cent as needed.)
On February 3, the billing date, Carol Ann Bluesky had a balance due of $128.66 on her credit card. Her Feb. 6 bank charges an interest rate of 1.25% per month and uses the average daily balance method. She made Feb. 13 Feb. 23 Feb. 26 Charge: Art supplies Payment Charge: Flowers delivered |Charge: Music CD $24.12 $110.00 $71.26 $11.41 the transactions described in the table during the month. a) Find Carol Ann's average daily balance for the billing period from February 3 to March 3. Assume it is not a leap year. b) Find the finance charge to be paid on March 3. c) Find the balance due on March 3. d) Compare the result obtained to those obtained using the previous balance method. a) The average daily balance for the billing period was $ (Round to the nearest cent as needed.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:On February 3, the billing date, Carol Ann Bluesky had a balance due of $128.66 on her credit card. Her Feb. 6
bank charges an interest rate of 1.25% per month and uses the average daily balance method. She made Feb. 13
Feb. 23
Feb. 26
a) Find Carol Ann's average daily balance for the billing period from February 3 to March 3. Assume it is not a leap year.
|Charge: Art supplies
Payment
Charge: Flowers delivered
Charge: Music CD
$24.12
$110.00
$71.26
$11.41
the transactions described in the table during the month.
b) Find the finance charge to be paid on March 3.
c) Find the balance due on March 3.
d) Compare the result obtained to those obtained using the previous balance method.
a) The average daily balance for the billing period was $
(Round to the nearest cent as needed.)
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