Chapter 5.1, Problem 48E

46. You have maxed out your credit card and owe $\$5,500$. Its interest rate is $21\%$. Each month, you make the minimum required payment of $\$120$, even though minimum required payment is $\$35$.

a. During the September $20$ through October $19$ billing period, you pay $\$120$ on October $1$. Find the average daily balance, the finance charge, and the new balance. (The new balance includes the finance charge.)

b. During the October $20$ through November $19$ billing period, you pay $\$120$ on November $11$. Find the average daily balance, the finance charge, and new balance.

c. During the November $20$ through December 19 billing period, you pay $\$120$ on November $30$. Find the average daily balance.

d. Compare the result of parts (a) through (c) with those of Exercise 46. Discuss the impact of the larger payment in this Exercise.