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Which credit option should choose

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Problem 1: Jason and Traci need to furnish their apartment. The furniture they want costs $5779.95, including taxes and delivery charges. They will need to use credit and can afford monthly payments of $500. Which credit option should they choose?

A) A line of credit at 8.6%, compounded daily

B) furniture store financing at 0% interest for 6 months and then 29.995%, compounded monthly on the remaining balance.

Reference no: EM132757396

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