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CTP · Question #352

(Topic 4) Based on the following information, how much money will XYZ Company owe the bank for monthly service charges after the earnings credit is applied? Average Ledger Balance$500,000 Deposit…

The correct answer is A. $0. See the full explanation below for the reasoning.

Question

  • (Topic 4)

Based on the following information, how much money will XYZ Company owe the bank for monthly service charges after the earnings credit is applied? Average Ledger Balance$500,000 Deposit Float$10,000 Reserve Requirement10% Earnings Credit Rate5% Monthly Service Charges$5,000 Days in month30

Options

  • A$0
  • B$68.49
  • C$436.99
  • D$561.64

How the community answered

(18 responses)
  • A
    78% (14)
  • B
    6% (1)
  • C
    6% (1)
  • D
    11% (2)

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