Problema Solution

Luke L. owes $395.33 on his visa account. He returns two items costing $24.06 and $31.77 for credit. Then he makes purchases of $48.00 and $97.55.

a) How much should his payment be if he wants to pay off the balance on the account?

b) Instead of paying off the balance, he makes a payment of $300 and then incurs a charge of $24.12. What is the balance (amount owed) on his account?

Answer provided by our tutors

First, lets determine how much Luke owes:

395.33-24.06-31.77+48+97.55=$485.05


a)Therefore, to pay off his account balance, Luke would need pay $485.05


Next, lets determine his new balance if he pays 300 and incurs a charge of 24.12:

485.05-300+24.12=$209.17


b)Therefore, his new balance is $209.17