On February 33, the billing date, Carol Ann Bluesky had a balance due of $122.39122.39 on her credit card. Her bank charges an interest rate of 1.25% per month and uses the average daily balance method. She made the transactions described in the table during the month. Feb. 88 Charge: Art supplies $21.2721.27 Feb. 1212 Payment $90.0090.00 Feb. 2323 Charge: Flowers delivered $62.5462.54 Feb. 2525 Charge: Music CD $10.9210.92 a) Find Carol Ann's average daily balance for the billing period from February 33 to March 33. Assume it is not a leap year. b) Find the finance charge to be paid on March 33. c) Find the balance due on March 33. d) Compare the result obtained to those obtained using the previous balance method. Question content area bottom Part 1 a) The average daily balance for the billing period was $enter your response here. (Round to the nearest cent as needed.)
On February 33, the billing date, Carol Ann Bluesky had a balance due of $122.39122.39 on her credit card. Her bank charges an interest rate of 1.25% per month and uses the average daily balance method. She made the transactions described in the table during the month. Feb. 88 Charge: Art supplies $21.2721.27 Feb. 1212 Payment $90.0090.00 Feb. 2323 Charge: Flowers delivered $62.5462.54 Feb. 2525 Charge: Music CD $10.9210.92 a) Find Carol Ann's average daily balance for the billing period from February 33 to March 33. Assume it is not a leap year. b) Find the finance charge to be paid on March 33. c) Find the balance due on March 33. d) Compare the result obtained to those obtained using the previous balance method. Question content area bottom Part 1 a) The average daily balance for the billing period was $enter your response here. (Round to the nearest cent as needed.)
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...
Related questions
Question
|
On February
33,
the billing date, Carol Ann Bluesky had a balance due of
$122.39122.39
on her credit card. Her bank charges an interest rate of 1.25% per month and uses the average daily balance method. She made the transactions described in the table during the month. |
Feb. 88
|
Charge: Art supplies
|
$21.2721.27
|
|
Feb. 1212
|
Payment
|
$90.0090.00
|
|
|
Feb. 2323
|
Charge: Flowers delivered
|
$62.5462.54
|
|
|
Feb. 2525
|
Charge: Music CD
|
$10.9210.92
|
a) Find Carol Ann's average daily balance for the billing period from February
33
to March
33.
Assume it is not a leap year.b) Find the finance charge to be paid on March
33.
c) Find the balance due on March
33.
d) Compare the result obtained to those obtained using the previous balance method.
Question content area bottom
Part 1
a) The average daily balance for the billing period was
$enter your response here.
(Round to the nearest cent as needed.)
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