Question

7. Compare Ann and Barry Lindale's expenses for renting versus owning a home inthe table below.a. Complete each table.b. Is it less expensive for them to buy or rent a home, and what is the difference?

Answer 1

To complete the tables, we multiply the given numbers:

First table:

`\begin{gathered} Rent:\text{ 850}*12=10200, \\ Phone,\text{ Internet \& Cable TV: }99*12=1188. \end{gathered}`

Second table:

`Phone,\text{ Internet \& Cable TV: }99*12=1188.`

Now, to determine which option is less expensive we compute the total annual expenses for each case:

1.-Rental:

`10200+45+180+1560+2400+1188=15,573.`

2.- Homeowner:

`6600+3600+480+1710+2400+1188+570+960+1180=18,688.`

From the above calculations, we can conclude that the cheaper option based on the given annual expenses is to rent.

Answer:

Renting is less expensive.