Question

Checking account A charges a monthly service fee of $20 and a wire transfer fee of $3, while checking account B charges a monthly service fee of $30 and a wire transfer fee of $2. How many transfers would a person have to have for the two accounts to cost the same?

A. 21

B. 31

C. 10

D. 0

Answer 1

A person would have to make 10 wire transfers for checking accounts A and B to cost the same. The calculation involves comparing the monthly fees and per transfer fees for both accounts.

Step-by-step explanation:

To find out how many wire transfers would make the costs of checking account A and B the same, we can set up an equation where the total cost of each account is equal. Let x be the number of wire transfers.

For account A, the cost would be $20 (monthly service fee) plus $3 per transfer, which gives us $20 + $3x.

For account B, the cost would be $30 (monthly service fee) plus $2 per transfer, leading to $30 + $2x.

Equating the two costs gives us the equation:

$20 + $3x = $30 + $2x.

To solve for x, we subtract $2x from both sides, getting:

$20 + $1x = $30.

Now, we subtract $20 from both sides:

x = $10.

Therefore, a person would have to make 10 wire transfers for the costs of the two accounts to be the same.