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9713 of 17
josé has a monthly budget of $80 to put toward his hobby of
building model trains. he can afford to pay cash for his purchases, but he
uses his credit card to buy items at the hobby store for amounts that do
not exceed his budget.
assuming josé pays his balance in full every month, is he using his credit
card wisely?
o a no; he should always pay cash if he can.
ob. yes; he has already budgeted for this expense.
oc. no; he should only use credit cards for important purchases.
od. yes; he can use his cash to pay for something else he wants.