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Use the average daily balance method to compute the finance charge on the credit card account...

Use the average daily balance method to compute the finance charge on the credit card account for the month of August​ (31 days). The starting balance from the previous month is ​$290. The transactions on the account for the month are given in the table to the right. Assume an annual interest rate of 18​% on the account and that the billing date is August 1st.

Date

Transaction

August 5

 Made payment of

​$81

August 6

 Charged

​$135

for hiking boots

August 18

 Charged

​$27

for gasoline

August 30

 Charged

​$28

for restaurant meal

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Expert Solution

ekkarill92 answered 1 year ago
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