Answer:
The new balance is $123.128.
Step-by-step explanation:
Given : On your last credit card statement, you had a previous balance of $98.14, payments of $10, a periodic rate of 1.34 percent, and new charges totaling $34.89
To find : What is the new balance?
Solution :
Previous balance = $98.14
Payment = $10
Unpaid balance = Previous balance - Payments
= $98.14 - $10
Unpaid balance = $88.14
We have given rate of interest= 1.34%=0.0134
Finance charge = Finance rate × Unpaid balance
Finance charge = [tex]\frac{0.0134}{12} \times 88.14[/tex]
Finance charge = $0.098423
New balance = Unpaid balance + finance charge + new transaction
New balance = $88.14 +$0.098423+ $34.89
New balance =$123.128
Therefore, The new balance is $123.128.
