8
QuizMultiple Choice

Credit vs. Cash

Question 8 • Financial Math - MA2007

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

Answer
A
Using cash will not help you improve your credit rating.
B
Using cash can be awkward when making large purchases.
C
Using cash generally requires trips to the bank or ATM to keep cash on hand.
D
Using cash can make it easier to over-spend since you know exactly how much you have.

Explanation

Knowing how much cash you have usually makes it easier to keep spending within that limit, so this is not a disadvantage of using cash. By contrast, cash does not build a credit history, can be awkward for large purchases, and may require trips to a bank or ATM.

AI-written and checked against the verified answer.

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