Checking account A charges a monthly service fee of $23 and a wire transfer fee of $7.50, while checking account B charges a monthly service fee of $14 and a wire transfer fee of $9.50. Which checking account is the better deal if four wire transfers are made per month?
Monthly fee of account A = $23 Fee per one wire transfer = $7.50 Fee per four wite transfers = 4*7.50 = $30 Total fee for account A per month = 23+30 = $53
Monthly fee of account B = $14 Fee per one wire transfer = $9.40 Fee for four wire transfers = 4*9.50 = $38 Total fee for account B per month = 14+38 = $52
So, account B would be a good deal for four wire transfers per month.
