Question

Grace Wang has an overdraft protection line. Assume that her October 2020 statement showed a latest (new) balance of $452. If the line had a minimum monthly payment requirement of 4 percent of the latest balance, then what would be the minimum amount she'd have to pay on her overdraft protection line?

Answer 1

Answer: $18.08

Step-by-step explanation:

The line has a minimum monthly payment requirement of 4 percent of the latest balance.

Ms. Wang's latest balance shows $452 so we will then take 4% of that and that would be the minimum amount she is to pay.

= 452 * 0.04

= $18.08

$18.08 is the minimum amount she'd have to pay on her overdraft protection line.