When you use a credit​ card, the credit card company charges a fee to the​ merchant, which ranges from 3​% to 5​%, on your purchase. Suppose you bought a​ high-definition TV for $310 and asked if the seller would give you a discount for paying cash. What might be a reasonable​ discount? A reasonable discount would be in the range of $__ to $__

Q: e-entertainment store sells high-end equipment ($5,000 and up). Orders are written up, then taken to…

A: Credit card: A card that allows the cardholders, who have an account in a bank to spend to a certain…

Q: Which of the following is true about credit card finance? a. All the options are wrong b. Credit…

A: There are various sources of finance

Q: Carla Vista's cash register tape showed sales of $59,000 on June 16 for charges to customers'…

A: JOURNAL ENTRIESJournal Entry is the first stage of Accounting Process. Journal Entry is the Process…

Q: CASE SUMMARY: Retailers commonly track customer's shopping patterns and target them with special…

A: Now it becomes a trend to track the customer's shopping pattern behavior. So that the company can…

Q: Which statement about credit cards is true?

A: A credit card is a plastic card that allows you to that allows the holder of the card to make…

Q: merchant receives an invoice for $8000 with terms 2/10, n/50. a) What is the maximum interest rate…

A: Discount is the amount to be paid less than actual prices and that is done for the early payment of…

Q: Your credit card company charges you 1.44 percent per month. What is the EAR on your credit card?…

A: Effective annual rate of interest (EAR) = (1 + r)^t - 1r = rate of interest = 1.44% t = time = 12

Q: Consider these transactions: (List all debit entries before credit entries. Credit account titles…

A: The journal entries are prepared to keep the record of day to day transactions of the business on…

Q: t down to. One card has a 15% APR, and the other c 5% APR. You have carefully considered your budget…

A: In this we have to calculate monthly interest rate and present value FACTOR and from that we can…

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: Your FICO score is a commonly used measure of credit risk (see www.myfico. com). A score of 850 is…

A: Credit means borrowing the amount from financial or non- financial institution. Credit score…

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: Consider these transactions: (Credit account titles are automatically indented when amount is…

A: (a)

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 bank is considering offering a loan of $100,000 to a client. If the loan is not offered, then the…

A: EVPI means different between two alternatives on the basis of monetary value. It helps to determine…

Q: A credit card company is studying its late fee policy. The company has two types of customers:…

A: Accounts - In situations when suppliers offer clients products and extend credit terms like "net 10…

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: You want to purchase something form an online shopping site. The price of the stuff you want to…

A: Value Added Tax (VAT) is a type of indirect tax which is borne by the customer when he or she…

Q: Credit card companies have different policies and rates. One company's policies are as follows: Part…

A: The finance charge is as follows: 0118 times for the first $500. 0098 times for the next $500. 0086…

Q: A customer hands you $3,850 in cash and would like to purchase 14 prepaid cards of $275 each. The…

A: As per policy, POS register do not allows more than $ 2000 for a single transaction. Doing…

Q: Big Dom’s Pawn Shop charges an interest rate of 20 percent per month on loans to its customers. Like…

A: APR = given monthly rate * 12 months

Q: Jackson will buy the items listed below. He has $422.76 in his checking account. He had a…

A: Ending Money = Beginning Money - Drawings - Bank Fees

Q: The credit card with the transactions described in the popup below uses the average daily balance…

A: Given, Monthly interest rate is 1.5%Previous balance is $2645.51

Q: Your firm has an average receipt size of $90. A bank has approached you concerning a lockbox service…

A: Net present value refers to a method used for calculating the present value of cash outflows from…

Q: Your firm has an average receipt size of $135. A bank has approached you concerning a lockbox…

A: In this scenario, our objective is to assess whether the lockbox project should be approved,…

Q: ore has a sale with 10 % off every item.  When you enter the store, you receive a coupon that states…

A: Companies provide different amount of discounts to the customers and these are given to increase and…

Q: Gupta & Grant Computer Supplies usually tries to take advantage of cash discounts even if it must…

A: Cash Discount=Invoice×Rate of Discount Amount of Interest=Invoice×Interest Rate on Loan×Days of…

Q: ou want to open a checking account with a $500 deposit. You estimate you will write 16 checks a…

A: We open bank accounts so that we can deposit our money there, write checks to pay our bills etc.…

Q: Which of the following is true about credit card finance? a. Interest rates are high on credit card…

A: Credit card finance is the finance that allows credit without any collateral security. A credit card…

Q: A man makes a simple discount note with a face value of $2,700, a term of 120 days, and a 9%…

A: Formula: Discount amount = Face value of note x discount rate x number of days Multiplying face…

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: Clark’s Landscaping bills customers subject to terms 2/25, n/60. Required: Compute the annual…

A: Annual Interest Rate= Discount % / 100 - Discount % * 365 / days paid early

Q: Consider these transactions: (List all debit entries before credit entries. Credit account titles…

A: Journal Entry :— It is an act of recording transactions in books of account when transaction…

Q: Consider these transactions: (List all debit entries before credit entries. Credit account titles…

A: Journal Entry :— It is an act of recording transactions in books of account when transaction…

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

A: Finance Charge is the amount of interest being charged on the borrowed amount from the lenders.

Q: A savings and loan charges 2.075 points for a home buyer to obtain a loan of $255,000. To calculate…

A: A loan is a financial arrangement in which one or more people, companies, or other entities lend…

Q: 4. The total current amount due to a purchate made by using credit card is PS4,245.50. Based on the…

A: Here in this question, we are require to prepare credit card payment schedule. When any amount…

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.