the chart shows pricing and payment options for two big - ticket items. financing options for household…

the chart shows pricing and payment options for two big - ticket items. financing options for household items which payment option would be best for the laptop and for the refrigerator? rent - to - own; installment installment; rent - to - own rent - to - own; rent - to - own save up and pay cash item rent - to - own payments installment plan cash price laptop computer $150 a month for 12 months $100.83 a month for 12 months $1,000 18.3 cf refrigerator $140 a month for 12 months $80.67 a month for 12 months $800

the chart shows pricing and payment options for two big - ticket items. financing options for household items which payment option would be best for the laptop and for the refrigerator? rent - to - own; installment installment; rent - to - own rent - to - own; rent - to - own save up and pay cash item rent - to - own payments installment plan cash price laptop computer $150 a month for 12 months $100.83 a month for 12 months $1,000 18.3 cf refrigerator $140 a month for 12 months $80.67 a month for 12 months $800

Answer

Explanation:

Step1: Calculate total rent - to - own cost for laptop

Multiply monthly rent - to - own payment by number of months. $150\times12 = 1800$.

Step2: Calculate total installment cost for laptop

Multiply monthly installment payment by number of months. $100.83\times12=1209.96$.

Step3: Compare laptop payment options

The cash price of the laptop is $1000$, the installment plan cost is $1209.96$ and rent - to - own cost is $1800$. So, for the laptop, the best option is to save up and pay cash.

Step4: Calculate total rent - to - own cost for refrigerator

Multiply monthly rent - to - own payment by number of months. $140\times12 = 1680$.

Step5: Calculate total installment cost for refrigerator

Multiply monthly installment payment by number of months. $80.67\times12 = 968.04$.

Step6: Compare refrigerator payment options

The cash price of the refrigerator is $800$, the installment plan cost is $968.04$ and rent - to - own cost is $1680$. So, for the refrigerator, the best option is to save up and pay cash.

Answer:

save up and pay cash