Calculate the average daily balance, finance charge, and new balance using the average daily balance method. Monthly rate = 1.25%

Date Payments Purchases Balance Number of Days Product/Sum
9/1 - 9/5 $387.52 5 $1,937.60
9/6 $50.00 $337.52 1 $337.52
9/7 - 9/18 $
337.52

11
$
9/19 $62.26 $399.78 1 $399.78
9/20 - 9/30 $
399.78

$
Total 30 $
The average daily balance =
÷ 30 = $
.

Finance charge = monthly rate x average daily balance = $
.

New balance = previous balance - payment/credits + finance charge + new purchases = $