Kanya has a credit card that gives a 6% discount on every purchase and free shipping when used online. The annual percentage rate on the credit card is 12%. Kanya wants to buy a laptop that costs $420. Which statement about the cost of the laptop is true?

The 6% discount on a $420 laptop is 0.06 × $420 = $25.20. Since Kanya pays the full balance during the billing cycle, she avoids interest, so the card’s annual percentage rate does not add a charge. She spends $25.20 less than the $420 cash price, making D correct.

AI-written and checked against the verified answer.