document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1200647>Question 1200647</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Average Daily Balance:\r<BR>\n" );
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document.write( "Amount; $1928 (Previous Balance)\r<BR>\n" );
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document.write( "Interest Rate; $19.74% (yearly)\r<BR>\n" );
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document.write( "30 Days in Billing Cycle\r<BR>\n" );
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document.write( "$150 payment on 15th of month\r<BR>\n" );
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document.write( "Explain how to calculate. </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #848071 by </B><A HREF=/tutors/aboutme.mpl?userid=GingerAle><B>GingerAle(43)</B></A><img src=\"/images/stars/stars-07.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=GingerAle><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=848071\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> **1. Calculate the Balance Before Payment:**\r<BR>\n" );
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document.write( "* **Days with the full balance:** 15 days (from day 1 to day 15)<BR>\n" );
document.write( "* **Balance for these days:** $1928 <BR>\n" );
document.write( "* **Total balance for this period:** $1928 * 15 days = $28,920\r<BR>\n" );
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document.write( "**2. Calculate the Balance After Payment:**\r<BR>\n" );
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document.write( "* **Payment amount:** $150<BR>\n" );
document.write( "* **New balance after payment:** $1928 - $150 = $1778<BR>\n" );
document.write( "* **Days with the reduced balance:** 15 days (from day 16 to day 30)<BR>\n" );
document.write( "* **Total balance for this period:** $1778 * 15 days = $26,670\r<BR>\n" );
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document.write( "**3. Calculate the Total Balance for the Billing Cycle:**\r<BR>\n" );
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document.write( "* **Total balance:** $28,920 (before payment) + $26,670 (after payment) = $55,590\r<BR>\n" );
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document.write( "**4. Calculate the Average Daily Balance:**\r<BR>\n" );
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document.write( "* **Average Daily Balance:** Total balance / Number of days in the billing cycle<BR>\n" );
document.write( "* **Average Daily Balance:** $55,590 / 30 days = $1853\r<BR>\n" );
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document.write( "**Therefore, the average daily balance for the billing cycle is $1853.** \r<BR>\n" );
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document.write( "**Note:**\r<BR>\n" );
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document.write( "* This calculation assumes that the payment was made exactly on the 15th day of the billing cycle. <BR>\n" );
document.write( "* Credit card companies may use slightly different methods for calculating the average daily balance, so it's always a good idea to refer to your specific credit card agreement for accurate information.<BR>\n" );
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