How much will you pay each month

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Reference no: EM134025433

Problem

Use PMT equals StartStartFraction Upper P left parenthesis StartFraction r Over n EndFraction right parenthesis OverOver 1 minus left parenthesis 1 plus StartFraction r Over n EndFraction right parenthesis Superscript negative nt EndEndFraction to determine the regular payment amount, rounded to the nearest dollar. Your credit card has a balance of $3800 and an annual interest rate of 16%. With no further purchases charged to the card and the balance being paid off over five years, the monthly payment is $92, and the total interest paid is $1720. You can get a bank loan at 8.5% with a term of six years. How much will you pay each month? Get the instant assignment help. How does this compare with the credit-card payment each month?

Reference no: EM134025433

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