Question

assume someone has an average balance account with a bank that costs $35 a month but earns 1% intrest per month if in september the account had$100,000 in it until the 15th and them $95,000 from the 15th to the 30th what is the intrest earned subtracting the $35 fee for month

Answer 1

Well, the easiest way is to compute the weighted average balance. Since the two balances were kept for equal time you can take a simple average. so waht's the average balance?

Answer 2

i dont get it

Answer 3

what's the average of 100000 and 95000?

Answer 4

do u add them?

Answer 5

do you know what an average is?

Answer 6

not relly

Answer 7

ok, if you're starting from not knowing what an average is you might need to get help from someone in person, it would take a while to explain

but the average of a series of numbers is their sum divided by how many numbers there are.

Answer 8

ohh ok i see so what wuld i do?

Answer 9

average of 100000 and 95000, multiply by 1% to see the interest earned, and subtract 35 for the fee

Answer 10

soo 100000+95000=
n den divide dem by two?

Answer 11

the average balance is 97500
multiply by .01 to get 975
less the 35 dollar fee and you get 940