Question

Riley buys a fridge, which he can pay for using the following options. A 9 payments of $183 B $1559 up front Which option is cheaper and by how much?

Answer 1

Option B is cheaper by $88.

Explanation:

It is given that:

Option A for buying fridge,

9 payments of $183

Total cost = $1647

Option B for buying fridge

Upfront payment = $1559

Thus,

1559 < 1647

Option B is cheaper.

Difference = 1647 - 1559 = $88

Therefore,

Option B is cheaper by $88.