Xavier buys a computer for 525 dollars , which includes taxes. He pays for the computer over a 12-month period by paying 48 point 1 3 dollars per month. Which statement about Xavier’s purchase is most likely true?
Answer
A
He used a credit card to make the purchase and paid exactly 525 dollars for the computer.
B
He used a debit card to make the purchase and paid exactly 525 dollars for the computer.
C
He used a credit card to make the purchase and paid an additional 52 point 5 6 dollars in interest.
D
He used a debit card to make the purchase and paid an additional 52 point 5 6 dollars in interest.
Explanation
Xavier pays $48.13 each month for 12 months, so his total payment is $48.13 × 12 = $577.56. That is $577.56 − $525 = $52.56 more than the computer’s purchase price, most likely because of interest on a credit-card purchase. A debit-card purchase would generally take the money directly from his account rather than add interest over time.
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