Question

A television set sells for $1,659.00 on the installment plan, which includes the finance charge. The payment plan calls for 10 percent down and the balance in 18 equal payments. The amount of each payment is?

Answer 1

$82.95

Explanation:

$1659.00 - 10% down = $1493.10 Subtract the down payment.

$1659.00 - $165.90 = $1493.10

Next, Divide the remaining balance by the number of payments due (18)

$1493.10 / 18 months = $82.95