CIBC Approved a $10 000 Personal Line of Credit on a Demand

Multiple Choice

CIBC approved a $10 000 personal line of credit on a demand basis to Tara,who takes an advance of $2240 on 1^st of every month to settle her monthly budget.She settles her loan when she receives her pay on 15^th of every month.Interest at the rate of prime (3%) plus 2.75% is charged to the account at the bank on the 15^th of each month.What is Tara's payment each month to settle the loan?

A) $2245.29
B) $5.29
C) $2240
D) $2368.80
E) $2263.63