You have a Visa credit card account with a 20.98% annual percentage rate calculated on the average daily balance. The billing date is the first day of each month, and the billing cycle is the number of days in that month. Your credit card balance on June 1 was $316. On June 9th you made a $125 purchase. You made another purchase, a $50 gift card, on June 25th. You made a $175 payment on June 28th. (a) What is the average daily balance for June? (b) What is your finance charge on the account as of July 1st? (c) What is your new credit card balance? Work MUST be shown

Q: Problem #1. You have a Visa credit card account with a 22.75% annual percentage rate calculated on…

A: Data given: Billing date: 1 st day of month APR=22.75%   Period No of days Nature of Transaction…

Q: You took a $500 cash advance by using checks linked to your credit card account. The bank charges…

A: Cash advance = $ 500 Cash advance fee = 2% Cash advance fee amount = Cash advance*Cash advance fee…

Q: You have a carryover balance of $968 on a credit card that has a 15.99% annual percentage rate…

A: Here,Carryover Balance is $968APR is 15.99%Payment is 8% of Ending Balace of Month

Q: Dallas Pierce’s most recent credit card statement follows. His finance charge is 15% APR. Calculate…

A: Finance Charge:- It is a form of compensation to the lenders for providing funds or extending credit…

Q: The VISA CREDIT CARD charges 3% interest per month on the unpaid balance for purchases made on this…

A: The conceptual formula used:

Q: STATEMENT BALANCE. Your credit card statement period CLOSES on the 1st of every month and a new…

A: Statement close date, billing date and payment due dates have been specified. We have to find the…

Q: Bhupat

A: The objective of this question is to calculate the total balance on the next billing date, which is…

Q: will be received and posted on the 10th of each month. No other charges will be made on the account.…

A: The computation of charges for purchases made with a credit card is the subject of the inquiry.…

Q: 2. Mr. Reis has these daily balances on his credit card for his last billing period. He did not pay…

A: Average daily balance is the average of the monthly expenses. The total balance is calculated by…

Q: Your card has a limit of $1,000. You plan to go on a honeymoon in one year and want to use the…

A: Given information: Limit of credit card : $1,000 Usage : Month 1-$150, Month 2-$200, Month 3-$199…

Q: On May 1, the balance on your credit card is $573.26. On May 6, you make a pur you make a payment of…

A: In credit cards the average daily balance is important and is weighted average balance for the whole…

Q: On October 26, you plan to purchase a $1,800 computer by using one of your two credit cards. The…

A: A credit card refers to a credit facility that is provided by the banks or financial institutions…

Q: K For the credit card account, assume one month between billing dates (with the appropriate number…

A: The average daily balance is to be calculated by taking the sum of the multiples of the balance…

Q: If you are trying to build credit by using a credit card, each time you make a purchase with the…

A: The finance charge is the cost determined by multiplying the estimated rate of finance with the…

Q: If you are trying to build credit by using a credit card, each time you make a purchase with the…

A: Data given: 31 day billing cycle 10/1 Previous balance    $ 1,177.00 10/3 Credit $ 66     cr…

Q: 16. The billing cycle for Mr. Lang´s credit card begins on September 8 and ends on October 7. He is…

A: Given: Credit Card Billing Period: Sept 8  to Oct 7 Previous Balance: $458 Annual Interest Rate: 19%…

Q: If you are trying to build credit by using a credit card, each time you make a purchase with the…

A: WORKING AND EXPLANATION

Q: olve the problem. On the September 1 billing date. Martin had a balance due of $984.01 on his credit…

A: Companies charges the interest on credit card based on average daily balance during the month that…

Q: Dy using Une of your two črédit cards. The Silver Card charges 18% interest and calculates interest…

A: For Silver card First Payment of 10 th November is $600 Balance   =$1800 - $600 = $1200 second…

Q: On October 24, you plan to purchase a $1,200 computer by using one of your two credit cards. The…

A: (a) Let's first calculate the interest charged by the Silver Card: The…

Q: If you are trying to build credit by using a credit card, each time you make a purchase with the…

A: Annual percentage rate refers to the charge which is paid by the borrower to the lender on the loan…

Q: (a) During the September 20 through October 19 billing period, you pay the minimum required payment…

A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: You had a balance of $2,100 last month after your payment on your credit card. You charged one pair…

A: Adjusted balance method: Total Balance due    = Beginning balance - Payments paid  + Monthly…

Q: If you are trying to build credit by using a credit card, each time you make a purchase with the…

A: Interest Rate = 6% APR Previous Balance = $1,173 Calculation of Number of days between is as follow:…

Q: 1. The average daily balance for Maggie Mae's last credit card statement was $1,634.28, and she had…

A: 1. a. APR = 18%    The monthly interest rate for Maggie Mae is  Monthly Interest…

Q: (a) Based on this information, calculate the interest (in $) charged by each card for this purchase.…

A: The charges paid by the borrower to the lender for the loan is known as interest. Interest depends…

Q: On October 24, you plan to purchase a $1,200 computer by using one of your two credit cards. The…

A: Credit cards are plastic or metal cards used to pay for items or services using credit. Credit cards…

Q: You miss your first payment on the $375 balance. You receive a bill in the mail after 45 days…

A: When you miss your payment, the credit card company charges interest on it. The new balance will be…

Q: On October 24, you plan to purchase a $1,200 computer by using one of your two credit cards. The…

A: When the lender lends a loan to the borrower, he charges a rate of interest on the borrowed amount.…

Q: 21. In considering investments in large capital projects, a company is deciding in which of the…

A: NPV is also known as Net Present Value.. It is a capital budgeting technique which helps in decision…

Q: Your credit card billing cycle is 10 days. You started your billing cycle with a balance of $500. On…

A: A credit card is an instrument that provides the holder access to debt capital that they can use…

Q: You pay off your full credit card bill every month. Should you ever borrow up to your credit limit?…

A: Credit card is referred to as the card, which used to allow the person to borrow the funds for…

Q: If you are trying to build credit by using a credit card, each time you make a purchase with the…

A: APR = 9%Previous balance = $1156No of days = 31To find: Amount owed.

Q: What is the balance on a credit card starting in month #5? You only pay the minimum payment each…

A: Opening Balance = $943.85 APR = 26.2% Minimum Payment = 5.5% of ending balance

Q: Kathy Hansen has a revolving credit account. The finance charge is calculated on the previous…

A: Finance charges are described as the cost of borrowings or the cost of funds. Thus, it is the…

Credit card

A credit card is provided by financial institutions or banks, which permits a person to borrow money on a preapproved limit for purchases on a credit basis. The credit limit is decided by the institution and bank which issues a credit card depending on the person’s credit score and income. A cardholder can use the card for credit purchases, a balance transfer, cash advances.