Q:

Cristobal is comparing the membership club fees at two different bookstores. At the first bookstore, it costs $17.05 annually to be a member of the club, but he will save 15% on all his purchases. At the second bookstore, it costs $28.57 annually to be a member of the club, but he will save 25% on all his purchases. How much does Cristobal need to spend in a year for the membership at the second bookstore to be the better value? A. $115.21 B. $144.00 C. $86.64 D. $132.48

Accepted Solution

A:
Answer:A) Cristobal need to spend $115.2 in a year for the membership at the second bookstore to be the better value.Step-by-step explanation:Let x : Amount Cristobal needs to spend for 2nd membership to be better.At First bookstore:Member ship fee = $17.05The savings on purchase = 15%So, actual payment = x - (15% of x) = x  - 0.15 x = 0.85 xSo, the total payment in first bookstore = Membership fee + Purchase payment = $17.05 + 0.85 xor, the amount paid at first book store  =  $17.05 + 0.85 xAt Second bookstore:Member ship fee = $28.57The savings on purchase = 25%So, actual payment = x - (25% of x)   = x  - 0.125 x = 0.75 xSo, the total payment in first bookstore  = $28.57+ 0.75 xNow, payment made at second store >Payment at first store⇒$28.57+ 0.75 x  > $17.05 + 0.85 xor, 18-57 - 17-05 > 0.85 x - 0.75 xor, 0.10x < 11.52or, x < 11.52/0.10  = 115.2or, x < 115.2Hence, Cristobal need to spend $115.2 in a year for the membership at the second bookstore to be the better value.