Bob’s bank charges him a $3.15 service fee every time he uses an out-of-network ATM. If Bob uses an out-of-network ATM an average of three times every two weeks, how much will he pay in service fees over the course of a year?
a. $327.60
b. $109.20
c. $491.40
d. $245.70
A point of sale transaction occurs when an ATM withdrawal is made. True or False
Given: 3.15 service fee every time out-of-network ATM is used 3 times every two weeks average use
How much will he pay in a year? 1 year = 52 weeks
52 weeks ÷ 2 weeks = 26 26 * 3 times = 78 times 78 times * 3.15 service fee = 245.70 total service fee for the year. Choice D.
FALSE. A point of sale transaction DOES NOT occur when an ATM withdrawal is made. A point of sale transaction occur when an ATM swiped as a debit card to pay for purchases made.
