Question

Michelle uses a credit card with a 23.2% APR compounded monthly to pay for car repairs totaling $790.59. She can pay $330 per month on the card. What will the total cost of this purchase be?

$974.01

$790.59

$818.07

$948.66

Answer 1

Howd you get that?

Answer 2

Write it out as a balance sheet:
Time Balance Fwd Interest Payment New Balance
0 790.59 0 0 790.59
1 790.59 790.59*0.232/12 $330 A+B-C
2 .....

Answer 3

Then sum the payments.

Answer 4

Knowing that the last payment will not be more than what is due.

Answer 5

The way @Valpey did it

Answer 6

So the answer is C right?

Answer 7

I'm confused