Question

Sally is buying a hearing aid that costs $5,000. her insurance pays $2,900 of the cost. Sally will get a loan to pay the remaining amount. The loan interest is free, if Sally pays a minimum of $75 per month and pays off the loan in a year. To be financially responsible, Sally wants to pay off the loan in one year. What is the minimum monthly payment Sally can make each month to pay of the loan in equal payments?

Answer 1

Answer:

$ 175

Step-by-step explanation:

Create an equation:

5000 = ax + 2900

a > 75

x = 12 months

5000 = 12a + 2900

12a = 2100

a = 175