Garth was amazed to hear that his friend Lindsey always pays off her credit card balance each month. Garth just assumed that everyone used credit cards the same waybuy now, pay lateronly in his case, months later. He buys almost everything he needs or wants, including clothes, food, and entertainment, with his card. When Lindsey asked him about the balance calculation method, APR, grace period, and other fees and features of his card, Garth was clueless. He reasoned that his credit card was a safe and convenient way to shop and that it allowed him to buy expensive items by paying minimum monthly payments. Overall, Garth thought of himself as a responsible credit user, despite the fact that he had been late making a few monthly payments and, once or twice, had gone over his credit limit. He also uses his card regularly to obtain cash advances. After hearing all of this, Lindsey is worried about her friend. She has come to you for help in answering the following questions.

1. How many months Garth will need to pay off a $3,000 outstanding balance if he pays $150 per month with an APR of 15 percent and he does not make any additional purchases. Tell Garth how much his monthly payment needs to be in order to eliminate his debt in 11 months, assuming no additional purchases.