Question

I’m confused if I should deduct his payment to his credit card leaving his available balance less than what’s available or how to properly solve.

Answer 1

Step 1

John's debit card is linked to a checking account and has a balance of $1170.

If John wants to purchase an item with his debit card, the most he can spend is all of the money on the debit card which is $1170.

Therefore, the most he can spend on his debit card is $1170.

Step 2

John has a credit card on which he owes $740. His credit limit is, however, $1850

The most he can spend in purchasing an item will be; $1110

`\begin{gathered} \text{ \$1}850-\text{ his debt}=\text{ \$1850-\$740=\$1110} \\ \text{Note his debt=\$740} \end{gathered}`

Step 3

If an item costs $1200, in order to purchase John must have and be able to spend at least $1200 or more on either or both of the cards.

The most he can spend on his debit card is $1170. This is less than $1200, the cost of the item. Therefore, he cannot use the debit card to make the entire purchase.

The most he can spend on his credit card is $1110. This is less than $1200, the cost of the item. Therefore, he cannot use the credit card to make the entire purchase.

Answer; Neither