Patty has a checking account at a local bank.
· the monthly checking fee is $10
· $0.30 for each check she writes
· Nonbank ATM withdrawals cost $2.50
· her beginning balance was $2,740.50
· she deposited $1,325.00
· withdrew $475.00 in cash from a nonbank ATM
· she wrote a check for $125.00
· transferred $500.00 to her savings account
What is her checking account balance at the end of the month?
A $2,422.30
B $2,952.70
C $3,401.20
D $3,520.50
First, we need to calculate the total fees Patty incurred:
- $10 monthly checking fee
- $0.30 x 1 check = $0.30
- $2.50 nonbank ATM fee
Total fees = $10.30 + $2.50 = $12.80
Next, we need to calculate Patty's total withdrawals:
- $475.00 nonbank ATM withdrawal
- $125.00 check
Total withdrawals = $600.00
Then, we need to calculate Patty's total deposits:
- $1,325.00 deposit
- $500.00 transfer to savings
Total deposits = $1,825.00
Finally, we can calculate Patty's balance at the end of the month:
Beginning balance + total deposits - total withdrawals - total fees
= $2,740.50 + $1,825.00 - $600.00 - $12.80
= $3,952.70
Therefore, Patty's checking account balance at the end of the month is $2,952.70 (option B).