irma has $500 to open a checking account. she wants an account with the lowest fees. she plans to use only…

irma has $500 to open a checking account. she wants an account with the lowest fees. she plans to use only her banks atm to deposit her paychecks and withdraw cash. bank account terms and conditions minimum balance interest overdraft protection atm fees monthly fee a $500 0.1% yes $0 for all atms $0 b $250 0% no $0 for abc bank atms $5 c $50 0% no $2 per transaction $10 or $0 with direct deposit d $100 0.1% no $0 per transaction $5 or $0 with direct deposit which checking account would be best for irma?

irma has $500 to open a checking account. she wants an account with the lowest fees. she plans to use only her banks atm to deposit her paychecks and withdraw cash. bank account terms and conditions minimum balance interest overdraft protection atm fees monthly fee a $500 0.1% yes $0 for all atms $0 b $250 0% no $0 for abc bank atms $5 c $50 0% no $2 per transaction $10 or $0 with direct deposit d $100 0.1% no $0 per transaction $5 or $0 with direct deposit which checking account would be best for irma?

Answer

Explanation:

Step1: Analyze Bank A

Bank A has a minimum - balance requirement of $500 (which Irma can meet), 0.1% interest, overdraft protection, $0 ATM fees for all ATMs, and a $0 monthly fee.

Step2: Analyze Bank B

Bank B has a minimum - balance of $250, 0% interest, no overdraft protection, $0 ATM fees for ABC bank ATMs, and a $5 monthly fee.

Step3: Analyze Bank C

Bank C has a minimum - balance of $50, 0% interest, no overdraft protection, $2 per ATM transaction, and a $10 monthly fee (or $0 with direct deposit). But we don't know if Irma has direct deposit, so assume the worst - case $10 monthly fee for now.

Step4: Analyze Bank D

Bank D has a minimum - balance of $100, 0.1% interest, no overdraft protection, $0 per ATM transaction, and a $5 monthly fee (or $0 with direct deposit). Again, assume the worst - case $5 monthly fee for now.

Step5: Compare fees

Bank A has the lowest overall fees with $0 monthly fee and $0 ATM fees.

Answer:

A