document.write( "Question 1160117: You have $3,500 on a credit card that charges a 21% interest rate. If you want to pay off the credit card in 4 years, how much will you need to pay each month (assuming you don't charge anything new to the card)?
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Algebra.Com's Answer #783297 by Theo(13342) $\"\"$ $\"About$

You can put this solution on YOUR website!
use a financial calculator such as the one found on https://arachnoid.com/finance/index.html
\n" ); document.write( "your inputs need to be:
\n" ); document.write( "present value = 3500
\n" ); document.write( "future value = 0
\n" ); document.write( "number of periods = 4 years * 12 months per year = 48 months
\n" ); document.write( "payment amount = what you want to find
\n" ); document.write( "interest rate per period (%) = 21% per year / 12 = 1.75% per month
\n" ); document.write( "payment at the end of each month
\n" ); document.write( "after making your entries, click on pmt and the calculator will tell you that the amount you need to pay at the end of each month is $108.38.
\n" ); document.write( "your total payments are 48 * 108.38 = 5202.24
\n" ); document.write( "your total interest paid is 5202.24 minus 3500 = 1702.24
\n" ); document.write( "this is based on the payment each month provided by the online calculator, which rounds the monthly payment to the nearest penny.
\n" ); document.write( "your solution is that you have to pay $108.38 at the end of each month for 48 months to pay off the balance, assuming you don't charge anything new to the card. \n" ); document.write( "

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