Question

linda has a debit card linked to a checking account with an available balance of $530. she also owes $590 on her credit card, which has a credit limit of $1050. use this information to answer the questions below. (a) linda is going to purchase an item with her debit card. what is the most she can spend? $ (b) linda is going to purchase an item with her credit card. what is the most she can spend? $ (c) suppose an item costs $500. which card can be used for the entire purchase? select all that apply. if neither card can be used, check
either\. debit card credit card neither

Explanation:

Step1: Analyze debit card spending limit

The available balance on the checking account linked to the debit card is the maximum amount that can be spent with the debit card. So, for part (a), the most she can spend with the debit card is simply the available balance of $530.

Step2: Analyze credit card spending limit

The credit limit of the credit card is $1050 and she already owes $590. To find the remaining credit (maximum additional spending), we subtract the amount owed from the credit limit. So, for part (b), we calculate $1050 - 590$.
$$1050-590 = 460$$

Step3: Determine which card can be used for a $500 purchase

For the debit card: The available balance is $530>500$. For the credit card: The remaining credit is $460 < 500$.

Answer:

(a) $530$
(b) $460$
(c) Debit card