The table below shows a summary of Deon's credit card statement for the month of March.
\begin{tabular}{|l|l|}
\hline Transaction types & Amount \\
\hline Unpaid balance from February (Beginning balance on March 1) & [tex]$\$[/tex] 592.75[tex]$ \\
\hline Payments made during the month of March & $[/tex]\[tex]$ 22.10$[/tex] \\
\hline Purchases made during the month of March & [tex]$\$[/tex] 159.79[tex]$ \\
\hline
\end{tabular}

Complete the parts below. Write your answer to the nearest cent.

(a) Suppose the credit card company charges $[/tex]1.25\%[tex]$ monthly interest on the unpaid balance from February. How much interest will this be?
$[/tex]\[tex]$ \llbracket$[/tex]

(b) What will Deon's unpaid balance be on his April 1 statement? (Assume that this balance will include the interest from part (a), but will not include any interest on his March balance yet.)
[tex]$\$[/tex] \square$



Answer :

Let's break down the solution into the required parts:

### Part (a) - Calculate the interest on the unpaid balance from February

Deon's unpaid balance from February, which is the beginning balance on March 1, is \[tex]$592.75. The monthly interest rate charged by the credit card company is 1.25%. To find the interest on the unpaid balance from February, we use the formula for calculating simple interest: \[ \text{Interest} = \text{Principal} \times \text{Rate} \] Substituting the given values: \[ \text{Interest} = 592.75 \times 0.0125 \] The calculated interest is \$[/tex]7.41.

### Part (b) - Calculate Deon's unpaid balance on April 1 statement

To calculate the unpaid balance on April 1, we need to consider the following:
- The unpaid balance from February
- The interest on the unpaid balance from February, which we calculated in part (a)
- Payments made during March
- Purchases made during March

We use the following formula to get the unpaid balance on April 1:
[tex]\[ \text{Unpaid Balance on April 1} = (\text{Unpaid Balance from February} + \text{Interest from February}) - \text{Payments Made} + \text{Purchases Made} \][/tex]

Substituting the provided values:
[tex]\[ \text{Unpaid Balance on April 1} = (592.75 + 7.41) - 22.10 + 159.79 \][/tex]

First, we add the unpaid balance from February and the interest from February:
[tex]\[ 592.75 + 7.41 = 600.16 \][/tex]

Then subtract the payments made during March:
[tex]\[ 600.16 - 22.10 = 578.06 \][/tex]

Finally, add the purchases made during March:
[tex]\[ 578.06 + 159.79 = 737.85 \][/tex]

Thus, Deon's unpaid balance on April 1 statement is \$737.85.

### Final Answers
(a) The interest on the unpaid balance from February is:
[tex]\[ \boxed{7.41} \][/tex]

(b) Deon's unpaid balance on April 1 statement is:
[tex]\[ \boxed{737.85} \][/tex]