Question

Estrella has a checking account at City Center Bank. During the month of April, she made deposits totaling $1,958.52 and wrote checks totaling $645.23. She paid a maintenance fee of $29 and earned $2.24 in interest. Her balance at the end of the month was $4,492.76.

What was her balance at the beginning of April?

Answer 1

Estrella's balance at the beginning of April was calculated by reversing the transactions made during the month from her ending balance, resulting in a starting balance of $2,534.24.

Step-by-step explanation:

To find Estrella's balance at the beginning of April, we need to undo the transactions that occurred during the month. Her ending balance is $4,492.76 after all the transactions. The steps for calculating the starting balance are:

1. Subtract the total deposits made during April, which is $1,958.52.
2. Add the total checks written, which totals $645.23, since writing checks would decrease the account balance.
3. Add back the maintenance fee of $29.00, as this would also have reduced the balance.
4. Subtract the interest earned of $2.24, because earning interest increases the balance.

Therefore, the calculation is $4,492.76 - $1,958.52 + $645.23 + $29.00 - $2.24.

Let's do the math:

Beginning balance = $4,492.76 - $1,958.52 + $645.23 + $29 - $2.24
Beginning balance = $2,534.24

Estrella's balance at the beginning of April was $2,534.24.