James owes $6,927 on a credit card with a 19.5% interest rate. What is the monthly payment he should make to pay off this debt in 12 months, assuming he does not charge any more purchases with the card?
+37091 I think the formula you need is:
A = P( i (1+i)^n / ((1+i)^n-1) A = monthly payment n = 12 payments i = periodic interest in decimal = 19.5/12=.01625
A= 6927 (.01625 (1.01625)^12/ (1.01625)^12 -1)
A=640.02 each month for 12 months
