In general, reducing the present value (pv) of a credit card while keeping the number of periods (n) and interest rate (i) the same will a. decrease the monthly payment (p) b. increase the monthly payment (p) c. eliminate the monthly payment (p) d. have no effect on the monthly payment (p)

A. Decrease the monthly payment (P)

Step-by-step explanation:

We know the annual payment formula as,

,

where P = monthly payment, PV = present value, r = rate of interest and n = time period.

Now, we are asked to find the behaviour of P as PV reduces and there is no change in 'r and n'.

Therefore, from the formula it is clear that P is in direct proportion to PV.

So, value of P reduces as PV reduces.

Hence, option A is correct.

answer: 12

step-by-step explanation:

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step-by-step explanation: