Question: You are trying to decide between two mobile phone carriers. Carrier A requires you to pay $215 for the phone and then monthly charges of

 You are trying to decide between two mobile phone carriers. Carrier

You are trying to decide between two mobile phone carriers. Carrier A requires you to pay $215 for the phone and then monthly charges of $62 for 24 months. Carrier B wants you to pay $85 for the phone and monthly charges of $68 for 12 months. Assume you will keep replacing the phone after your contract expires. Your cost of capital is 4.5% 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.)

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