Question

Blaise borrowed $500 for a color tv set. The APR is 18.75% find his monthly payments if he pays off the loan in 24 months

Answer 1

So this is simple interest where you're dealing with I = Prt?

Since you're not here, I'll just assume that.

I = interest in dollars
P = price of item
r = rate (percentage represented as decimal)
t = time (in years)

I = (500)(0.1875)(2) (24 months = 2 years)

I = $187.50

Answer 2

$500 + $187.50 = 687.50

687.50/24 months = $28.65/month

Answer 3

Monthly pymt = $25.14