Question

Which of the following options is a better purchase for a microwave? Option 1: A cash sale for $120 Option 2: $5 down with equal payments of $10 for 15 weeks Option 3: $10 down with equal payments of $5 for 24 months Option 4: $0 down with equal payments of $15 for 9 months A. Option 4 B. Option 3 C. Option 2 D. Option 1

Answer 1

The first option is a better choice heres why...
option 1) is $120
option 2) is $155
option 3 is $130
option 4) is 135
SO all and all the first payment method is the cheapest option.

Answer 2

D. Option 1

Explanation:

Let's evaluate each option separately:

Option 1 will cost $120.

Option 2:

Total cost = Down payment + Weekly payment

=
`5+10*15`

=
`155`

Therefore, option 2 will cost $155 which is worse compared to option 1.

Option 3:

Total cost = Down payment + Monthly payment

=
`10+5*24`

=
`130`

Therefore, option 3 will cost $130 which is worse compared to option 1.

Option 4:

Total cost = Down payment + Monthly payment

=
`0+15*9`

=
`135`

Therefore, option 4 will cost $135 which is worse compared to option 1.

So the best option is option 1.

So answer is D. Option 1