Question

You have just graduated from college and purchased a car for $5000. your credit is $10,000. assume that you make no payments and purchase nothing more and that there are no other fees. the monthly interest rate is 8%. what is the growth rate of your credit card balance per month (as a decimal)?
A) 0.2 C)0.08
B) 0.8 D)0.02

Answer 1

C is the correct answer as 8% turned to a decimal is .08