Linda owes $3,861 on a credit card with a 22.3% interest rate compounded monthly. What is the monthly payment she should make in order to pay off this debt in 2 years, assuming she does not charge any more purchases with the card?

$160.88

$200.87

$361.93

$867.93

Question

Linda owes $3,861 on a credit card with a 22.3% interest rate compounded monthly. What is the monthly payment she should make in order to pay off this debt in 2 years, assuming she does not charge any more purchases with the card?

 $160.88

 $200.87

 $361.93

 $867.93

amistre64 · Answer

arent you the one who said my Payment formula was "not textbook"?

amistre64 · Answer

$$B_ok^{12*2}\frac{1-k}{1-k^{12*2}}=P$$

amistre64 · Answer

such that k = 1+r/12

amistre64 · Answer

http://www.wolframalpha.com/input/?i=3861k%5E%2824%29%281-k%29%2F%281-k%5E%2824%29%29%2C+k%3D1%2B.223%2F12

anonymous · Answer

No that wasn't me?

amistre64 · Answer

lol :)