Determine the missing information for the following line of ...

[olgavictoria]

Determine the missing information for the following line of credit.

Harold has a line of credit secured by the equity in his home. The limit on his line of credit is $85 000. Transactions for the period May 1 to September 30 are shown below. Harold owed $45 967.06 on his line of credit on May 1.

Principal

Principal

Interest

Date

Withdrawal

Payment

Payment

Balance

-----------------------------------------------------------------

May

01

-45 967.06

30

1200.00

?

June

23

5 050.00

30

2200.00

?

July

10

6700.00

?

Aug

05

11 700.00

31

8200.00

?

Sept

30

6200.00

?

Note: "-" indicates a negative balance.

Overdraft interest is 28.8% p.a. The line of credit interest is variable. It was 6.15% on May 1, 6.50% effective June 20, and 6.55% effective September 10.

a) Calculate the interest payments on May 31, June 30, July 31, August 31, and September 30.
b) What is the account balance on September 30?

[macmac]

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[olgavictoria]

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[macmac]

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