A bank account with overdraft protection charges 0.08% per day plus a flat $5.00 fee for overdrawn accounts. If it takes 12 days to pay off an overdraft of $290.00, what is the total overdraft charge?
The total overdraft charge can be calculated by multiplying the overdraft amount by the daily interest rate and then adding the flat fee. The daily interest rate is 0.08% or 0.0008, so the daily interest charge is 0.0008 * 290 = $0.232. The total interest charge over 12 days is 0.232 * 12 = $2.784. Adding the flat fee of $5.00, the total overdraft charge is $2.784 + $5.00 = $7.784. Rounding to the nearest cent, the total overdraft charge is $7.78. Therefore, the answer is $7.78.
