Question: Ana Jackson is getting ready to open a small restaurant. She is on a tight budget and must choose between the following long-distance phone plans:

Ana Jackson is getting ready to open a small restaurant. She is on a tight budget and must choose between the following long-distance phone plans:

Plan A: Pay 9 cents per minute of long-distance calling.
Plan B: Pay a fixed monthly fee of $14 for up to 340 long-distance minutes, and 4 cents per minute thereafter (if she uses fewer than 340 minutes in any month, she still pays $14 for the month).
Plan C: Pay a fixed monthly fee of $22 for up to 460 long-distance minutes and 2 cents per minute there after (if she uses fewer than 460 minutes, she still pays $22 for the month).

Required

Which plan should Jackson choose if she expects to make 100 minutes of long-distance calls? 340 minutes? 540 minutes?

Question content area bottom

Part 1

For each different level of monthly long-distance calling, select the plan that Jackson should choose.

100 minutes 340 minutes 540 minutes
Plan

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!