Fan & Medal, multiple choice.
Javier owes $4,289 on a credit card with a 17.5% 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?
A. $71.43
B. $357.42
C. $392.20
D. $877.24

Question

Fan & Medal, multiple choice.
Javier owes $4,289 on a credit card with a 17.5% 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?
A. $71.43
B. $357.42
C. $392.20
D. $877.24

leozap1 · Answer

I know it's not A or B. I can eliminate them because A is too low of a payment, and B would be the payment without interest.

leozap1 · Answer

I'm thinking the answer is C.

greatlife44 · Answer

Well, i'm assuming that that the interest rate is monthly? 

So i think you would need a way to represent the total amount of money made in 12 months 17.5% 

so 4289 is the base fee, and each month you've got interest factored in. 

$$P(x) = 4289+1.175x $$ 

this will give you the total number of money he has to pay in 12 months adjusted for interest.

greatlife44 · Answer

$$P(x) = 4289+1.175(12) = (total-payment)$$

$$\frac{ total~payment }{ 12 } = monthly~payment$$

leozap1 · Answer

Okay, so P(x)=4303.1?

leozap1 · Answer

Divided by 12 that gives me 358.5917 (rounded)

leozap1 · Answer

It doesn't say if it's monthly or anything so I'm not sure if it's monthly.

greatlife44 · Answer

P(12) = 4303.1/12 = 358 remember it's in dollars :)

leozap1 · Answer

So it would be $358.59? What do I do from here though, as it's not one of my answer choices lol.

greatlife44 · Answer

Pretty sure it's going to be 357, I may have not rounded properly along somewhere.