Adam’s bank account has a balance of $1213.69 before he starts spending money. he makes the following transactions: transaction cost ($) car payment 260.16 groceries 97.98 parking ticket 75.00 dvd box set 115.35 antique lamp 68.53 suit 331.84 adam is considering getting his car a new paint job. doing so will have a total cost of $264.83. can adam afford this? a. yes, he can make the purchase and still have money left over. b. yes, but doing so will clear out his account. c. no, purchasing that would overdraw his account. d. no, he is overdrawn already.

b. Yes, but doing so will clear out his account

Explanation:

To solve this problem we must take Adam's initial bank account balance ($1213.69) and subtract all of his expenses in order to check if he has enough money left to get his car a new paint job:

After all the transactions, Adam is left with $264.83 in his account which is exactly the cost to get a new paint job. Therefore, Adam can afford it but doing so will clear out his account.

b. Yes, but doing so will clear out his account

Explanation:

To solve this problem we must take Adam's initial bank account balance ($1213.69) and subtract all of his expenses in order to check if he has enough money left to get his car a new paint job:

After all the transactions, Adam is left with $264.83 in his account which is exactly the cost to get a new paint job. Therefore, Adam can afford it but doing so will clear out his account.

of the three mortgage options that demarco and tanya have to choose from, the balloon payment mortgage would be their best option, over adjustable payment and fixed payment plans.ultimately, the balloon payment plan would save demarco and tanya overall, in interest, would cost less monthly, and they would only have to make these payments for 8 years, opposing to 30 years for adjustable or fixed payment plans. 

overall, demarco and tanya would save $80,811 if they chose balloon payments over fixed payments, and would save $116,711 if they choose balloon payments over adjustable payments. benefits with choosing fixed payments over adjustable payments is that, in the end, the payments will still be $836.30 a month, while with adjustable payments, the initial monthly payments will be $763.38 to $1082.70 a month, ultimately leading to a more costly purchase. benefits with choosing fixed payments over balloon payments are not present. benefits in choosing adjustable payments over is that it has a lower interest rate, and starts with lower monthly payments initially. benefits in choosing adjustable payments over balloon payments include a lower interest rate, and lower initial monthly payments. benefits in choosing balloon payments over fixed payments include lower interest rates, lower overall price, lower monthly payments, takes less time to pay off, and does not require a downpayment. benefits in choosing balloon payments over adjustable payments include, lower monthly payments (when averaged), takes less time to pay off, and lower overall price.

hence, option c, balloon payments, is the best option for demarco and tanya to make this purchase, for it will save them a minimum of $80811, and a maximum of $116,711.