Question 146787: a bank offers two checking account plans. hte anywher plan charges 30 cents per check. the accucheck plan charges $1.00 per month, plus 25 cents per check
For what number of checks will the accucheck plan cost less the the anywhere plan?
choose the range of checks which will cost less under the accucheck plan than under the anywhere plan d.20 checks
a. less than 20 checks
b. 20 or more checks
c. more than 20
Answer by BrittanyM(80)   (Show Source):
You can put this solution on YOUR website! To solve this problem, we will first write equations to model both plans.
The Accucheck Plan charges an initial fee of 1.00 and a .25 per check fee.
Accucheck = .25c + 1.00
The Anywhere Plan has no initial fee and charges a .30 per check fee.
Anywhere = .30c
We are asked to find the value at which the Accucheck Plan is the greater deal.
(For values less than, equal to, or greater than twenty)
With these equations, we will plug in test numbers and check the costs of each account.
For choice A, less than twenty checks, we will try ten.
Accucheck = .25(10) + 1.00
Accucheck = 3.5
Anywhere = .30(10)
Anywhere = 3
Since Accucheck is not a better value for less than twenty checks, we move on to choice B, equal to twenty.
Accucheck = .25(20) + 1.00
Accucheck = 6
Anywhere = .30(20)
Anywhere = 6
So exactly twenty checks makes both plans an equal value. From this, we can see that any value over twenty is going to make the Accucheck Plan better.
So the answer is C. For any values over twenty, Accucheck is a better plan.
|
|
|
