Question

Jack decided to apply for the UltraCard. He met the requirements and was approved. Jack made several purchases the first month he had the credit card. The table shows his daily balances for the month. The average daily balance of Jack's new credit card account is______ ($391.29, $738.69,$833.89).

Answer 1

Based on the table shown:

Day 1 to Day 9 = $150 * 9 = $1, 350 balance for 9 days

Day 10 to Day 13 = $212.48 * 4 = $849.93

Day 14 to Day 18 = $243.17 * 5 = $1, 215.85

Day 19 to Day 26 = $623.42 * 8 = $4, 987.36

Day 27 to Day 30 = $833.89 * 4 = $3, 335.56

Total Balance at the end of the month = $1, 350 + $849.93 + $1, 215.85 + $4, 987.36 + $3, 335.56 = $11, 738.70

To solve for the average daily balance, we have to divide the total balance in one month by the number of days, therefore:

Average Daily Balance = $11, 738.70 divided by 30 days = $391.29.