Answer:
Coupon B
Step-by-step explanation:
Given
[tex]Price = \$450[/tex]
[tex]Coupon\ A = \$80[/tex]
[tex]Coupon\ B = 20.5\%[/tex]
Required
Which coupon is better
From the question, we have:
[tex]Coupon\ A = \$80[/tex]
[tex]Coupon\ B = 20.5\%[/tex]
Coupon B means that:
[tex]Coupon\ B = 20.5\% * \$450[/tex]
[tex]Coupon\ B = 0.205 * \$450[/tex]
[tex]Coupon\ B = \$92.25[/tex]
By comparison:
Coupon B gives him a better buy because: [tex]\$92.25 > \$80[/tex]