What will the last payment be to pay off a $1,250 computer plus 8% sales tax with monthly payments of $120?
Question
What will the last payment be to pay off a 120?
Solution
Step 1: Calculate the total cost of the computer including sales tax.
The sales tax is 8% of the cost of the computer. So, we calculate 8% of $1,250:
0.08 * 100
So, the total cost of the computer including sales tax is 100 = $1,350.
Step 2: Determine how many full payments of $120 can be made.
To do this, we divide the total cost by the monthly payment amount:
120 = 11.25
Since you can't make a quarter of a payment, you'll make 11 full payments of $120.
Step 3: Calculate the amount of the last payment.
To do this, we subtract the amount already paid through the 11 full payments from the total cost:
120) = 1,320 = $30
So, the last payment to pay off the computer will be $30.
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