Question

calculate the monthly service charge to a business that had an average balance of $314 and wrote 10 checks.
average balance maintenance charge per check charge
less than $500 $12.00 $0.20
$500 - $1999 $7.50 $0.20
$2000 - $4999 $2.00 $0.06
$5000 or more $0.00 $0.00
the monthly service charge is $□.

Explanation:

Step1: Determine Maintenance Charge

The average balance is $314, which is less than $500. So the maintenance charge is $12.00.

Step2: Calculate Per Check Charge

The business wrote 10 checks, and the per check charge for average balance less than $500 is $0.20. So per check charge is $0.20 * 10 = $2.00.

Step3: Total Monthly Service Charge

Add maintenance charge and per check charge: $12.00 + $2.00 = $14.00.

Answer:

14.00