Question
Bank A charges a $2 fee each time a customer withdraws money from an out-of-network ATM. They also charge a $12 monthly service fee. If your withdrawals at out-of-network ATMs exceed $12, the monthly service fee is waived.
Bank B does not charge a fee for withdrawing money from an out-of-network ATM, but instead charges a $20 monthly fee. Bank B also limits you to 10 free ATM withdrawals per month. After 10 ATM withdrawals, they automatically charge a one-time fee of $5, no matter how many ATM withdrawals you make.
You and a friend are on vacation. You bank with Bank A. You withdraw money from an out-of-network ATM 14 times. Your friend banks with Bank B. He withdraws money from an ATM 22 times.
Which statement below is true?
(1 point)
Responses
You paid $28 in bank fees. Your friend paid $25 in bank fees.
You paid $28 in bank fees. Your friend paid $25 in bank fees.
You paid $40 in bank fees. Your friend paid $25 in bank fees.
You paid $40 in bank fees. Your friend paid $25 in bank fees.
You paid $28 in bank fees. Your friend paid $30 in bank fees.
You paid $28 in bank fees. Your friend paid $30 in bank fees.
You paid $25 in bank fees. Your friend paid $28 in bank fees.
Bank B does not charge a fee for withdrawing money from an out-of-network ATM, but instead charges a $20 monthly fee. Bank B also limits you to 10 free ATM withdrawals per month. After 10 ATM withdrawals, they automatically charge a one-time fee of $5, no matter how many ATM withdrawals you make.
You and a friend are on vacation. You bank with Bank A. You withdraw money from an out-of-network ATM 14 times. Your friend banks with Bank B. He withdraws money from an ATM 22 times.
Which statement below is true?
(1 point)
Responses
You paid $28 in bank fees. Your friend paid $25 in bank fees.
You paid $28 in bank fees. Your friend paid $25 in bank fees.
You paid $40 in bank fees. Your friend paid $25 in bank fees.
You paid $40 in bank fees. Your friend paid $25 in bank fees.
You paid $28 in bank fees. Your friend paid $30 in bank fees.
You paid $28 in bank fees. Your friend paid $30 in bank fees.
You paid $25 in bank fees. Your friend paid $28 in bank fees.
Answers
GPT-4o mini
Let's break down the fees for both you (Bank A) and your friend (Bank B).
### You (Bank A):
1. **Out-of-network ATM withdrawals**: You withdrew money 14 times, and Bank A charges $2 for each withdrawal.
- Withdrawal fees: \( 14 \times 2 = 28 \) dollars.
2. **Monthly service fee**: Normally, there's a $12 monthly service fee. However, if your withdrawals exceed $12, this fee is waived. Since your withdrawal fees total $28, the service fee is waived.
- Total fees: \( 28 + 0 = 28 \) dollars.
### Your Friend (Bank B):
1. **Out-of-network ATM withdrawals**: Your friend withdrew money 22 times, and Bank B allows the first 10 withdrawals for free. After 10 withdrawals, there is a $5 fee for any additional withdrawals, regardless of how many.
- Additional withdrawals: \( 22 - 10 = 12 \) withdrawals.
- Since there is a one-time fee of $5 after the 10 free withdrawals, the total for these additional ones will be just $5.
2. **Monthly service fee**: Bank B charges a monthly fee of $20, regardless of ATM usage.
- Total fees: \( 20 + 5 = 25 \) dollars.
### Summary:
- Your total bank fees (Bank A): **$28**.
- Your friend's total bank fees (Bank B): **$25**.
Thus, the correct statement is:
**You paid $28 in bank fees. Your friend paid $25 in bank fees.**
### You (Bank A):
1. **Out-of-network ATM withdrawals**: You withdrew money 14 times, and Bank A charges $2 for each withdrawal.
- Withdrawal fees: \( 14 \times 2 = 28 \) dollars.
2. **Monthly service fee**: Normally, there's a $12 monthly service fee. However, if your withdrawals exceed $12, this fee is waived. Since your withdrawal fees total $28, the service fee is waived.
- Total fees: \( 28 + 0 = 28 \) dollars.
### Your Friend (Bank B):
1. **Out-of-network ATM withdrawals**: Your friend withdrew money 22 times, and Bank B allows the first 10 withdrawals for free. After 10 withdrawals, there is a $5 fee for any additional withdrawals, regardless of how many.
- Additional withdrawals: \( 22 - 10 = 12 \) withdrawals.
- Since there is a one-time fee of $5 after the 10 free withdrawals, the total for these additional ones will be just $5.
2. **Monthly service fee**: Bank B charges a monthly fee of $20, regardless of ATM usage.
- Total fees: \( 20 + 5 = 25 \) dollars.
### Summary:
- Your total bank fees (Bank A): **$28**.
- Your friend's total bank fees (Bank B): **$25**.
Thus, the correct statement is:
**You paid $28 in bank fees. Your friend paid $25 in bank fees.**