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menu, carrier a or b You are trying to decide between two mobile phone carriers. Carrier A requires you to pay $185 for the phone
menu, carrier a or b
You are trying to decide between two mobile phone carriers. Carrier A requires you to pay $185 for the phone and then monthly charges of $64 for 24 months. Carrier B wants you to pay $90 for the phone and monthly charges of $64 for 12 months. Assume you will keep replacing the phone after your contract expires. Your cost of capital is 4.4% APR, compounded monthly. Based on cost alone, which carrier should you choose? The EAA for plan A is $. (Round to the nearest cent.) The EAA for plan B is \$ , (Round to the nearest cent.) Based on the cost alone, you will choose . (Select from the drop-down menu.)Step by Step Solution
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