You have a credit card with an interest rate of 14.99% and a balance of $6700. If you paid $350 a month, how long would it take you to pay off your credit card?

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To find the answer to the 2010-08-30 calculator problem, we first need to find the future value of our $30,000 which is FV=1,584,825.92 (N=240, I=20, PV= -30,000, PMT=-0). If we borrow another $30,000 and invest at 20% but pay 10%, we would net $250 a month ($30,000 * 10% = $3000 / 12 months). If we add that $250 every month to the calculation, we would get FV=2,362,238.88 (N=240, I=20, PV= -30,000, PMT= -250). Now that we future value, we can calculate the yield on our original investment. I=22.30 (N=240, PV= -30,000, PMT=0, FV=2,362,238.88). 22.30% on our original investment.

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