Plan A costs £12 a month plus 5p per minute. Plan B costs £20 a month and includes 100 minutes, then charges 8p per minute. How much cheaper is Plan A than Plan B for 250 minutes in a month?
Answer and explanation
Correct answer: C. £7.50
- Step 1: Plan A: 12 + 250 × 0.05 = 12 + 12.50 = £24.50. Step 2. Plan B: 20 + 150 × 0.08 = 20 + 12 = £32. Step 3. 32 - 24.50 = £7.50. Answer: £7.50. Why not the others: £24.50: This is the cost of Plan A, not the difference. £32.00: This is the cost of Plan B, not the difference. £15.50: This charges Plan B for all 250 minutes, ignoring the 100 included minutes.
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