Question

xavier buys a computer for $525, which includes taxes. he pays for the computer over a 12 - month period by paying $48.13 per month. which statement about xavier’s purchase is most likely true?
○ he used a debit card to make the purchase and paid exactly $525 for the computer.
○ he used a debit card to make the purchase and paid an additional $52.56 in interest.
○ he used a credit card to make the purchase and paid exactly $525 for the computer.
○ he used a credit card to make the purchase and paid an additional $52.56 in interest.

Explanation:

Step1: Calculate total amount paid

To find the total amount Xavier pays over 12 months, we multiply the monthly payment by the number of months. The monthly payment is $48.13, and the number of months is 12. So the total payment is $48.13\times12$.
$$48.13\times12 = 577.56$$

Step2: Calculate the interest amount

The original cost of the computer (including taxes) is $525. To find the interest, we subtract the original cost from the total amount paid. So the interest is $577.56 - 525$.
$$577.56 - 525 = 52.56$$

Step3: Analyze payment method

Debit card payments usually deduct the amount directly from the account, and you pay the exact amount (or in installments without interest in simple cases, but here there is an extra amount). Credit cards are used for installment payments with interest (if not paid in full immediately). Since there is an additional $52.56, it's likely a credit card purchase with interest.

Answer:

He used a credit card to make the purchase and paid an additional $52.56 in interest.