Question

Alex opened a $5,000 line of revolving credit at the bank. What is his current available balance if he has already borrowed $2,250 and paid back $1,000 of that amount?

Answer 1

How do you calculate revolving credit?

Image result for Alex opened a $5,000 line of revolving credit at the bank. What is his current available balance if he has already borrowed $2,250 and paid back $1,000 of that amount?

The formula for a revolving line of credit is the balance multiplied by the interest rate, multiplied by the number of days in a given month, all divided by 365 (to represent the number of days in a year).

Explanation: