Using the average daily balance method

Assignment Help Financial Management

Reference no: EM131976320

You have been pricing an MP3 player in several stores. Three stores have the identical price of $400. Each store charges 24 percent APR, has a 30-day grace period, and sends out bills on the first of the month. On further investigation, you find that store A calculates the finance charge by using the average daily balance method, store B uses the adjusted balance method, and store C uses the previous balance method. Assume you purchased the MP3 player on May 5 and made a $100 payment on June 15. What will the finance charge for June be if you made your purchase from store A? From store B? From store C? (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Reference no: EM131976320

Questions Cloud

Create a mind map or infographic of the individuals : Part 1: Identify four potential roles of human resources representatives within an organization. Create a Mind Map or infographic that summarizes.

How many properties in your sample consist of brick building : BE01106-BUSINESS STATISTICS ASSIGNMENT. How many properties in sample consist of brick buildings? Which building type occurs most frequently in your sample

Best estimate of the company cost of equity : what is your best estimate of the company's cost of equity.

Prepare the vision statements of a strategic plan : The corporation's performance in recent years as well as the changes with business and economic conditions will be a central focus of your new job.

Using the average daily balance method : you find that store A calculates the finance charge by using the average daily balance method,

Develop the strategic plan using given information : In this second part of the final strategic plan development assignment, you will follow up on the introductory activities that you completed during.

What is threatening to tear the united states apart : Describe the situation of the United States in the 1850s. What is holding the country together? What is threatening to tear the United States apart?

Examination of financial analysis methods : The final assignment of your project will require you to make a recommendation to finance an EHR system, based on information from previous assignments.

How much should you charge for the option : The risk-free rate of interest is 5 percent per year, compounded continuously. How much should you charge for the option?

User Account

All Pages