Joe Summers buys a gas grill and accessories. The cost, including tax, amounts to $850.00. Joe finances the grill over 12 months after making a $150 down payment. The true annual interest rate is 14%. What are Joe's monthly payments (principal plus interest)?

Question

To the nearest penny, c = $
.
Total of payments = amount financed + c = $
.
Total of payments ÷ number of payments = monthly payment = $
.

Answer 1

850 - 150 = 700 owed
1.14 * 700 = 798 total payments in 12 months
798 / 12 = $ 66.50