Problem $7$

The annual percentage rate $($APR$)$ on your credit card is $24\%$ and your bank uses monthly compounding. During the

first week of school, you racked up $$1,000$ in credit card debt. You do not have access to a cheaper source of

financing, and you definitely do not want to tell your parents, so you decided that you will pay it all back in $$100$ Problem $7)$ How long will it take you to bring your credit card balance to zero $($in months$)?$

Question $11$Select one:

Will never be paid back

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$10\mathrm{.}6$

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$25\mathrm{.}8$

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$22\mathrm{.}5$

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$5\mathrm{.}6$

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$12\mathrm{.}5$

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$11\mathrm{.}3$

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$10\mathrm{.}0$

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equal monthly installments. Your first payment is due one month from today. How long will it take you to bring

your credit card balance to zero?