jills credit card was stolen. the thief charged a $900 kayak on the card before she reported it stolen.\na…

jills credit card was stolen. the thief charged a $900 kayak on the card before she reported it stolen.\na. how much of the thiefs purchase is jill responsible for?\nb. jills average daily balance would have been $1,240 without the thiefs purchase. what was the sum of her daily balances for the 30 - day billing period?\nc. the thiefs purchase was on her daily balances for 10 out of the 30 days during the billing cycle. what was the sum of jills daily balances with the thiefs purchase included?\nd. what was the average daily balance with the thiefs purchase included? round to the nearest cent.

jills credit card was stolen. the thief charged a $900 kayak on the card before she reported it stolen.\na. how much of the thiefs purchase is jill responsible for?\nb. jills average daily balance would have been $1,240 without the thiefs purchase. what was the sum of her daily balances for the 30 - day billing period?\nc. the thiefs purchase was on her daily balances for 10 out of the 30 days during the billing cycle. what was the sum of jills daily balances with the thiefs purchase included?\nd. what was the average daily balance with the thiefs purchase included? round to the nearest cent.

Answer

Explanation:

Step1: Determine Jill's liability for the stolen credit - card purchase

According to the Fair Credit Billing Act, if a credit - card is stolen, the cardholder is liable for at most $50 of unauthorized purchases.

Step2: Calculate the sum of daily balances without the thief's purchase

The formula for the average daily balance (A=\frac{S}{n}), where (A) is the average daily balance, (S) is the sum of daily balances, and (n) is the number of days. Given (A = 1240) and (n = 30), we can solve for (S) using the formula (S=A\times n). So (S=1240\times30 = 37200).

Step3: Calculate the sum of daily balances with the thief's purchase

The thief's purchase of $900 was on the daily balance for 10 days. The sum of daily balances without the thief's purchase is (S_1=37200). The additional amount due to the thief's purchase is (900\times10). So the new sum (S_2=37200 + 900\times10=37200 + 9000=46200).

Step4: Calculate the new average daily balance

Using the formula (A=\frac{S}{n}), with (S = 46200) and (n = 30), we have (A=\frac{46200}{30}=1540.00)

Answer:

a. $50 b. $37200 c. $46200 d. $1540.00