Answer:
The monthly payment which need to make is $ 151.305
Step-by-step explanation:
Given as :
The balance in credit card = $ 8500
The annual rate = 15.99 %
The time period = 3 years
From compounded method
Amount = Principal × ( [tex](1+\dfrac{\textrm rate}{100})^{\textrm Time}[/tex])
Or, 8500 = p × ( [tex](1+\dfrac{\textrm 15.99}{100})^{\textrm 3}[/tex])
or, 8500 = p × (1.1599)³
or, 8500 = p × 1.56049
∴ p = [tex]\frac{8500}{1.56049}[/tex]
I.e p = 5447.007
Now The months in 3 years = 3 × 12 = 36 months
So , The monthly payment = [tex]\frac{5447.007}{36}[/tex] = $ 151.305
Hence The monthly payment which need to make is $ 151.305 Answer
