QUESTION 16:
You have $240 on hand and no credit. Can you buy the $25,000 Miata?
You have $30,000 in credit. Can you buy the $25,000 Miata?
Yes. You have enough credit for the car. The credit manager must be your uncle.
Recall the problem:
You would like to buy a new $25,000 red Miata sports car. To buy the car you could pay cash for it, or you could buy it on credit.
It turns out that you have $240 on hand and are a student majoring in Philosophy, with no hope for a job anytime soon. The credit manager is unwilling to extend any credit to you.
You have $240 on hand and no credit. Can you buy the $25,000 Miata?