4. You have a credit card with an APR of 22%. The card requires a...
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4. You have a credit card with an APR of 22%. The card requires a minimum monthly payment of 14% of the balance. You have a balance of $7,400. You stop charging and make only minimum monthly payments.
(a)Find a formula for the balance, B, after t monthly payments. Simplify the decay factor to 4 decimal places. (1.5 pt)
(b)According to the formula you just created, what percentage of the credit cards balance is paid off each month? Give your answer as a percentage rounded to two decimal places. Write your result in a complete sentence. (1.5 pt)
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