Question

felipe owes $520 on his credit card, which has a credit limit of $1550. he also has a debit card linked to a checking account with an available balance of $980. use this information to answer the questions below. (a) felipe is going to purchase an item with his credit card. what is the most he can spend? $\square$ (b) felipe is going to purchase an item with his debit card. what is the most he can spend? $\square$ (c) suppose an item costs $950. which card can be used for the entire purchase? select all that apply. if neither card can be used, check
either\. $\bigcirc$ credit card $\bigcirc$ debit card $\bigcirc$ neither

Explanation:

Step1: Calculate credit card available limit

$\$1550 - \$520 = \$1030$

Step2: Identify debit card max spend

Max spend = available balance: $\$980$

Step3: Compare cost to card limits

Credit card limit: $\$1030 \geq \$950$; Debit card balance: $\$980 \geq \$950$

Answer:

(a) $\$1030$
(b) $\$980$
(c) Credit card, Debit card