Question

Whitney bought a watch for $107.50. The finance charge was $11 and she paid for it over 6 months. Use the formula, and calculate her approximate APR. Round the answer to the nearest tenth.Use the table for the following questions.Amount Financed Finance Charge # Months APR Nearest tenth$98 $12 10 A$124 $24 12 B$216 $25 15 C$438 $49 18 D$987 $205 24 E

Answer 1

Answer:

APR = 14.78%

Step-by-step explanation:

APR = $\frac{24 (Finance charge)}{Amount financed (\frac{1}{total no. of payments}) }$

        put values in above equation

where    finance charge = 11

              Amount financed = 107.5

               no. of payments = 6

APR = 14.78%