Let's look into the details of the credit terms provided and analyze the changes in the Annual Percentage Rate (APR).
The given credit terms state:
1. The APR for purchases is 0% as an introductory rate for the first 10 months.
2. After the initial 10-month period, the APR will change.
3. The new APR will be a variable rate, which will be either 10.99%, 15.99%, or 17.99%.
Given this information, we can determine the following:
- The initial APR of 0% lasts only for the first 10 months, meaning it is only temporary.
- After these 10 months, the APR does not remain at 0%. Instead, it switches to one of the specified variable rates.
- The new APR can be 10.99%, 15.99%, or 17.99%. This indicates that the APR will increase after the initial 10-month period.
Thus, the correct interpretation is that after 10 months, the APR will increase from the introductory 0% to a variable rate of 10.99%, 15.99%, or 17.99%.
Therefore, the correct answer is:
It increases to a variable rate of 10.99%, 15.99%, or 17.99%.