Your parents are renting an apartment for you when you go to college an annual contract is 502.00/month with a 2 month penalty if you break the lease. The month to month contract is 615.00/month how much is the difference in Payments if you stay the whole year

Answer 1

To stay the whole year with the annual contract, you would pay:

502.00/month x 12 months = $6,024.00

If you choose the month-to-month contract, you would pay:

615.00/month x 12 months = $7,380.00

The difference in payments if you stay the whole year would be:

$7,380.00 - $6,024.00 = $1,356.00

Choosing the annual contract would save you $1,356.00 for the year.