finances chapter assignment\n7. consider alessandros july statement for a credit card which charges an…

finances chapter assignment\n7. consider alessandros july statement for a credit card which charges an annual interest rate of $29.88\\%$ on any unpaid balance:\n\n| month | previous balance ($) | payment ($) | unpaid balance ($) | interest charge ($) | new purchases ($) | new balance ($) |\n| :--- | :--- | :--- | :--- | :--- | :--- | :--- |\n| july | 2,376.55 | 575.00 | | | 0.00 | |\n\nassume there are no new purchases made in july.\na. what is his unpaid balance in the month of july? fill in the table above.

finances chapter assignment\n7. consider alessandros july statement for a credit card which charges an annual interest rate of $29.88\\%$ on any unpaid balance:\n\n| month | previous balance ($) | payment ($) | unpaid balance ($) | interest charge ($) | new purchases ($) | new balance ($) |\n| :--- | :--- | :--- | :--- | :--- | :--- | :--- |\n| july | 2,376.55 | 575.00 | | | 0.00 | |\n\nassume there are no new purchases made in july.\na. what is his unpaid balance in the month of july? fill in the table above.

Answer

Explanation:

Step1: Calculate Unpaid Balance

Subtract the payment from the previous balance. $$2,376.55 - 575.00 = 1,801.55$$

Step2: Determine Monthly Interest Rate

Divide the annual interest rate by 12 months. $$\frac{29.88%}{12} = 2.49% = 0.0249$$

Step3: Calculate Interest Charge

Multiply the unpaid balance by the monthly interest rate. $$1,801.55 \times 0.0249 \approx 44.86$$

Step4: Calculate New Balance

Sum the unpaid balance, interest charge, and new purchases. $$1,801.55 + 44.86 + 0.00 = 1,846.41$$

Answer:

The completed table values for July are: Unpaid Balance ($): 1,801.55 Interest Charge ($): 44.86 New Balance ($): 1,846.41