Read the following scenario. research options for payment, and use the paced decision-making model to decide how emmitt should pay for the television. remember, the paced steps are to define the problem, list the alternatives, select criteria, evaluate the alternatives, and make a decision.

example:
emmitt wants to buy a new flat screen television. the cost of the television is $539. he has a credit card with a credit limit of $1,000 and an apr of 22 percent. the store offers him store credit with six months no interest and an apr of 22 percent. this means if he pays the balance in the first six months, he doesn’t pay any interest. if he doesn’t pay off the balance in the first six months, then he starts paying 22 percent interest on the balance thats left. since he just paid off his car loan, he can afford to pay $100 each month. this means it would be possible for him to pay the balance within six months. he also has a great credit score and could obtain a personal loan. remember, the goal is to find the most cost-effective option for purchasing the tv. how should emmitt pay for the television?

Emmitt should use the store credit.

Explanation:

If Emmitt would use his credit card and paid the TV off in 6 months he would pay $59.29 in interest and would pay $598.29 total.

$539*(0.22/12)

= $9.88/ month in interest

$9.88*6

= $59.29 total for 6 months

$539+$59.29

= $598.29 total

If Emmitt would use his credit card and paid the TV off in 12 months (1 yr) he would pay $118.58 in interest and would pay $657.58 total.

$539*0.22

= $118.58 total interest in 1 year

$539+$118.58

= $657.58 total

If Emmitt uses store credit and paid the TV off in 6 months he wouldn't pay interest and would pay $539 total.

There would be little to no benefit for Emmitt to get a personal loan.

being born in poverty would limit the people's chances, opportunities and benefits.

this happen because of several things, such as:

- poor people tend to gain less access to good education and nutrition. this mean that their chance to obtain high paying jobs would also be limited.

- poor people tend to socialize with other poor people while the rich tend to socialize with other rich people. this means that simply throguh their social circle, rich people would have more business opportunities compared to the poor people.

- rich people tend to have more capital in their disposal. this would benefit them in business since it is far easier for them to fund their business operation compared to poor people.