Question

If Bob's bank account has $300, what will be his bank balance after he pays $368 to repair his car? Bob's bank charges a $25 overdraft fee if he spends more money than what is in his account. What will be his new balance after the bank charges him the overdraft fee?

Answer 1

His new balance after the bank charges him the overdraft fee will be

$300-$368-$25 = -$93

Explanation:

If Bob's bank account has $300, this means what he ordinarily has to spend is $300

If he pays $368 to repair his car, he has made use of overdraft because he has spent more than he ordinarily had to spend. He will be charged overdraft fee of $25 (Bob's bank charges a $25 overdraft fee if he spends more money than what is in his account)

His new balance after the bank charges him the overdraft fee will be

$300-$368-$25 = -$93