Web Analytics
Answered

Calculate the unpaid balance, finance charge, and new balance using the unpaid balance method. Note: interest rate is given as a monthly rate.


Previous balance = $91.96


Payments/credits = $35.00


Unpaid balance = $


Monthly rate = 1.5%


Finance charge = $


New purchases = $113.98


New balance = $

Verified Answer :

Answer:

Unpaid balance = $56.96

Finance charge = $0.8544

New balance =$171.7944

Step-by-step explanation:

Given : Previous balance = $91.96

Payments/credits = $35.00

Monthly rate = 1.5%

New purchases = $113.98

To calculate : The unpaid balance, finance charge, and new balance using the unpaid balance method.  

Solution :  

Unpaid balance = Previous balance - Payments

Unpaid balance = $91.96- $35

Unpaid balance  = $56.96

We have given rate of interest= 1.5%=0.015

Finance charge = Finance rate × Unpaid balance

Finance charge = @@MATH_TOKEN_0@@

Finance charge = $0.8544

New balance =  Unpaid balance + finance charge + new transaction

New balance =  $56.96 +$0.8544+ $113.98

New balance =$171.7944

Related Questions