Question

1. Larry is in the market for a new lawn mower. He has found two on sale. The first lawn
mower is $275 with a 20 percent discount but must be assembled. The second lawn
mower is $299 with a 25 percent discount and is already assembled. Which of the
following describes the best decision for Larry?

Answer 1

The option that describes the best decision for Larry is Larry buys the second lawn mower because he thinks the extra $5 are worth not having to do the assembly.

How much does Larry spend?

The cost of the first lawnmower after the discount is:

= 275 x (1 - 20%)

= 275 x 0.80

= $220

The cost of the second lawnmower is:

= 299 x 0.75

= $224.25

The difference between the lawnmowers is around $5. This $5 is the cost of the assembly on the second lawnmower and Larry might decide that this cost is worth it.

Options for this question include:

• Larry buys the second lawn mower because he thinks the extra $5 are worth not having to do the assembly.
• Larry buys the second lawn mower because it is cheaper due to the better sale, and he doesn't want to assemble a lawn mower.
• Larry buys the first lawn mower because he likes the way it looks.
• Larry buys the first lawn mower because it is significantly cheaper.
• Larry buys the first lawn mower because he can take the day off of work to build it and will save

Find out more on economic decisions at https://brainly.com/question/27840103

#SPJ1