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The problem is asking to determine the regular monthly payment to pay off a credit card balance using the formula for the payment of an installment loan:

\[
\text{PMT} = \frac{P \left( \frac{r}{n} \right)}{1 - \left( 1 + \frac{r}{n} \right)^{-nt}}
\]

### Given dataThe problem is asking to determine the regular monthly payment to pay off a credit card balance using the formula for the payment of an installment loan:

\[
\text{PMT} = \frac{P \left( \frac{r}{n} \right)}{1 - \left( 1 + \frac{r}{n} \right)^{-nt}}
\]

### Given 
- $ P = 6200 $ (principal, the balance on the credit card)
- $ r = 0.18 $ (annual interest rate, 18%)
- $ n = 12 $ (number of payments per year, as this is monthly payments)
- $ t = 2 $ (time to pay off the balance, 2 years)

We can now substitute these values into the formula:

\[
\text{PMT} = \frac{6200 \times \left( \frac{0.18}{12} \right)}{1 - \left( 1 + \frac{0.18}{12} \right)^{-12 \times 2}}
\]

Let me calculate this.

First, the monthly interest rate:
\[
\frac{0.18}{12} = 0.015
\]

Now substitute into the payment formula:
\[
\text{PMT} = \frac{6200 \times 0.015}{1 - \left( 1 + 0.015 \right)^{-24}}
\]

Let me evaluate this further to get the answer.The monthly payment amount is approximately **$310** when rounded to the nearest dollar.

### To answer part (b):
We now need to calculate the total interest paid over the 2 years. First, we calculate the total amount paid over the 2 years, then subtract the principal.

Total amount paid over 2 years:
\[
\text{Total Paid} = \text{PMT} \times n \times t
\]
Let me compute this next.The total interest paid over the 2-year period is approximately **$1,229**.

Would you like further details or have any other questions?

Here are five questions to explore further:
1. How would the monthly payment change if the interest rate were lower?
2. What happens to the total interest paid if you choose a longer repayment period?
3. How would additional monthly payments affect the balance?
4. What are the consequences of making only the minimum payment on a credit card with a high interest rate?
5. How can you calculate the payoff time if you make more than the minimum payments?

**Tip:** Making additional payments on a loan reduces the principal faster, which can significantly decrease the total interest paid.

Your credit card has a balance of $6,200 with an annual interest rate of 18%. You want to pay off the balance in 2 years. What are the monthly payments and how much interest will you pay in total?

This financial problem helps you calculate monthly payments for a $6,200 credit card balance with 18% annual interest over 2 years. Learn how to use the PMT formula to find the monthly payment and total interest paid.

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