. Elizabeth went on a fabulous vacation in May and racked up a lot of
charges on her credit card. When it came time to pay her June credit
card bill, she left a balance of $1200. Elizabeth's credit card billing
cycle runs from the nineteenth of each month to the eighteenth of the
next month, and her interest rate is 19.5%. She started the billing
cycle June 19-July 18 with a previous balance of $1200. In addition,
she made three purchases, with the dates and amounts shown in
Table 10-11. On July 15 she made an online payment of $500.00
that was credited to her balance the same day.
a.
Find the average daily balance on the credit card account
for the billing cycle June 19-July 18.
Compute the interest charged for the billing cycle June
19-July 18.
Find the new balance on the account at the end of the
June 19-July 18 billing cycle.
C.
Table 10-11
Date
6/21
6/30
7/5
7/15
Amount of
purchase/payment
$179.58
$40.00
$98.35
Payment $500.00