Michael Has Credit Card Debt of $60,000 That Has an 18

question 115

Multiple Choice

Michael has credit card debt of $60,000 that has an 18% APR,compounded monthly.The minimum monthly payment only requires him to pay the interest on his debt.He receives an offer for a credit card with an APR of 10% compounded monthly.If he rolls over his debt onto this card and makes the same monthly payment as before,how long will it take him to pay off his credit card debt?

• A)72 months
• B)78 months
• C)84 months
• D)98 months
• E)104 months

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Definitions:

Coercive Power

A form of power that is based on the ability to deliver punishments or impose negative repercussions.

Sanctions

Measures taken by countries or international bodies to restrict or penalize certain actions, often used to enforce international law or standards.

Leadership Emphasizes

Focuses on attributes that leaders highlight or prioritize in their approach to managing and motivating their teams.

Legitimate Power

Refers to the authority that an individual has by virtue of their position in an organization's hierarchy.