Paying off a debt The goal of this problem is to understand paying off debts. The problem focuses on paying off credit card debt, but it can be applied to paying off any other types of debts such as student loans. Let us imagine that you have incurred a $3000 credit card debt. Your credit card gives you a 24% APR compounded monthly and they set your minimum payment at $100. Before we start, let us first define some variables: B(t) = the balance on your account after t months P = your monthly payment (in this case, P =$100) r = the interest the bank charges you (in this case, r = 0.24) n = the number of times a year the interest is compounded (in this case, n = 12) r 1. Let us define the interest percentage that the bank charges you every month as I = this problem. Calculate I in n 2. We know that B(0) = 3000. We can find B(1) by using the following formula: == H B(1) B(0) + B(0)I - P = B(0)(1 + I) - P (0.1) meaning that the balance at the end of the first month is equal to the original balance plus the interest the bank charges you on the loan minus the payment you have made. Calculate B(1).