For the credit card account below, compute the average daily balance, the finance charge, and the...

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For the credit card account below, compute the average daily balance, the finance charge, and the account balance for the next billing. Assume the cycle ends on the same date each month and that the annual interest rate is 12%. Previous Balance plus Interest: $900 April 7 April 11 First Day of the Billing Cycle Returns April 14 April 20 April 26 May 1 Average Daily Balance: Payment Jewelry Mail Order Mail Order Monthly Finance Charge: Account Balance for the Next Billing: $27 $30 $81 $33 $136 For the credit card account below, compute the average daily balance, the finance charge, and the account balance for the next billing. Assume the cycle ends on the same date each month and that the annual interest rate is 12%. Previous Balance plus Interest: $900 April 7 April 11 First Day of the Billing Cycle Returns April 14 April 20 April 26 May 1 Average Daily Balance: Payment Jewelry Mail Order Mail Order Monthly Finance Charge: Account Balance for the Next Billing: $27 $30 $81 $33 $136

Answer rating: 100% (QA)

To calculate the average daily balance we need to determine the balance for each day of the billing cycle and then take the average Here is the breakd... View the full answer