Finance

Finance

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Chapter 4

Critical Thinking Case 4-1

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Questions 1-3

1.Calculate the annual cost of each of the three accounts, assuming that Judith’s banking habits remain the same. Which plan would you recommend and why?

 

2.Should Judith consider opening the interest checking account and increasing her minimum balance to at least $1,500 to avoid service charges? Explain your answer.

 

3.What other advice would you give Judith about her checking account and savings strategy?

 

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