Question

Once a month, Eddie cashes his paycheck at a check cashing service that charges a 1% fee. If Eddie gets paid $500 per month, which of the following will be true?

Answer 1

Answer:

He should be paying $5 monthly.

Step-by-step explanation:

500*0.01=5, I think this was a question from flocabulary, next time, try to also add the answer choices.

Answer 2

The true statement is that the amount of money which Eddie would be charged for each monthly withdrawal is equal to $5.

What is a paycheck?

A paycheck refers to a financial document issued to an employee by an employer, as payment for the work done over a specific period of time.

How to calculate the service charge.

Since the interest on Eddie's monthly withdrawal is 1% (0.01), it simply means that the service charge would be calculated by multiplying his wages by the interest rate.

Service charge = 500 × 0.01

Service charge = $5.

Read more on interest rate here: https://brainly.com/question/24341207

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