Which of the following options is the most inexpensive plan to purchase a bicycle?

Question

Question 16 options:

A)

$12 down with equal payments of $5 for 12 months

B)

$20 down with equal payments of $20 for 12 months

C)

$5 down with equal payments of $8 for 10 weeks

D)

A cash sale for $88

Answer 1

To determine the most inexpensive plan to purchase a bicycle, we will calculate the total cost for each option:

A) $12 down with equal payments of $5 for 12 months:

• Total payments = $12 + ($5 * 12)
• Total = $12 + $60 = $72

B) $20 down with equal payments of $20 for 12 months:

• Total payments = $20 + ($20 * 12)
• Total = $20 + $240 = $260

C) $5 down with equal payments of $8 for 10 weeks (approximately 2.5 months):

• Total payments = $5 + ($8 * 10)
• Total = $5 + $80 = $85

D) A cash sale for $88:

• Total = $88

Now, let's compare the total costs:

• Option A: $72
• Option B: $260
• Option C: $85
• Option D: $88

The most inexpensive plan to purchase a bicycle is Option A at a total cost of $72.