Thomas Magnum has misplaced the sales contract for his car and cannot remember the amount he originally financed. He does know that the add-on interest rate was 9.8% and the loan required a total of 48 monthly payments of $314.65 each. How much did Thomas borrow (to the nearest dollar)?
Activity on Jean's credit card for one billing cycle is shown in the table below.
DATE ACTIVITY AMOUNT BALANCE DAYS
JAN 29 (first day of billing cycle) - $514.79 12
FEB 9 Books-R-Us $11.08 525.87 6
FEB 15 Gas Mart $79.00 604.87 5
FEB 20 Payment $200.00 404.87 5
FEB 25 Baseball Tickets $43.00 447.87 3
If Jean is charged a monthly interest rate of 1.9% on the average daily balance and the billing cycle ends on Feb. 28, find
(a) the average daily balance of the account for the month, and
(b) the finance charge for the month (using your answer to part (a)).