what type formula I use for this question ?
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What is the balance on the product after the deferment period?

Question

what type formula I use for this question ? 
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What is the balance on the product after the deferment period?

anonymous · Answer

The minimum total purchase is $149
The deferment time period 6 months
APR is compound monthly  Standard APR 24.24% Penalty APR 29.24%
The minimum payment required $149

primeralph · Answer

@whpalmer4

anonymous · Answer

A=p(1+r)^t  ?????

anonymous · Answer

hello ?

amistre64 · Answer

i assume this means that payment is defered but interest accrues

amistre64 · Answer

you might want to change r to:  apr/12  for a period of 6 months

amistre64 · Answer

if im reading it right:

total purchase + accrued interest = balance on card after 6 months

whpalmer4 · Answer

It may also be the scenario where you pay no interest for the deferral period, but if you haven't paid off the balance by the end of the deferral period, interest is added as if it had been accruing all along.  The problem seems less than ideally clear...