Help in Economics?

Question

The bank charges 18% compounded monthly on the outstanding balance.
a) If the minimum monthly card payment is 3%, how many months would be required to pay the full $3,600 balance?
b) What would be the cardholder’s total interest expense ($) during the repayment period

Answer 1

Your question doesn't make sense as written. If that's the case, then the balance will INCREASE by 14.46% indefinitely making the account impossible to pay off.

Furthermore, the minimum monthly payment has to at somepoint become a numerical value otherwise you'll just end up paying smaller and smaller amounts off forever.