Question

calculate the monthly service charge to a business that had an average balance of $1903 and wrote 55 checks.

average balance	maintenance charge	per check charge
$500-$1999	$7.50	$0.18
$2000-$4999	$5.00	$0.10
$5000 or more	$0.00	$0.00

Explanation:

Step1: Determine the maintenance charge

The average balance is $1903, which falls in the $500 - $1999 range. So the maintenance charge is $7.50.

Step2: Calculate the check charge

The number of checks is 55, and the per - check charge for this range is $0.18. So the check charge is $0.18\times55 = 9.9$.

Step3: Calculate the total monthly service charge

The total monthly service charge is the sum of the maintenance charge and the check charge. So it is $7.50+9.9 = 17.4$.

Answer:

The monthly service charge is $17.40.