4
QuizMultiple Choice

Credit vs. Cash

Question 4 • Financial Math - MA2007

Which of the following is not a disadvantage of using credit instead of cash?

Answer
A
Credit cards increase the likelihood of impulse buying.
B
Credit cards can be used to increase your credit score.
C
Credit cards generally come with interest and other fees that cash does not.
D
Credit cards require a good credit rating and responsible credit maintenance.

Explanation

The question asks which choice is not a disadvantage of using credit instead of cash. Credit cards can help build your credit score when used responsibly, so that is an advantage. Impulse buying, interest and fees, and the need to maintain good credit are potential disadvantages.

AI-written and checked against the verified answer.

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