Question

Emma is ready to open a new checking account and is trying to decide between three banks using the chart below:

Bank R
Bank S
Bank T
No monthly fees if balance stays above $300, otherwise $7 per month
No monthly fees if check card is used more than 6 times per month, otherwise $10 monthly fee
$5 monthly fee
No minimum balance
$25 minimum balance
No minimum balance
Online banking services
Online banking services
No online banking options
Non-Bank R ATM fee - $2.00 per transaction
Non-Bank S ATM fee - $1.50 per transaction
Non-Bank T ATM fee - $2.00 per transaction

Emma usually has about $1000 in her account at any given time during the month. She usually visits the ATM twice a week and is interested in banking online options. Bank R has 10 ATMs within a 5 mile radius of Emma’s home. Bank S has 1 ATM 10 miles from Emma’s work. Which bank should she choose?
a.
Bank R
b.
Bank S
c.
Bank T
d.
Bank R and S


Please select the best answer from the choices provided

A
B
C
D

Answer 1

A

Bank R. Emma keeps about $1,000 (above the $300 threshold) so R charges no monthly fee, offers online banking, and has 10 nearby ATMs so she can avoid non‑bank ATM fees. Bank S’s single ATM is inconvenient (she’d likely incur $1.50 per non‑bank ATM use) and Bank T lacks online banking.