Jessica is very proud of herself for having $5,000 in her savings account that pays 4 percent interest. She currently has a balance of $2,300 on her credit card account that charges 21 percent interest

Jessica thinks she is making a wise financial decision by keeping her money in her savings account instead of paying off her credit card balance. What financial principle from Chapter 1 would you use to give her good advice?
A) Mind games, financial personality, and your money
B) The time value of money
C) Taxes affect personal financial decisions.
D) Both A and C


Answer: D

Business

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