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Which is better?

  1. Jul 10, 2012 #1
    Hi, Recently my parents asked me which is better :-

    they had to replace a "broken" cable box.

    The provider offered them one for Rs 1000. They would continue with regular monthly subscription of Rs 300pm.

    Or they could pay Rs 3600 in advance for 12 months of programming and get a "free" replacement cable box. I think the bank interest rate there is about 12%.

    How BEST to think about this problem? What is problem framework for an easier answer?

    Thanks.
     
  2. jcsd
  3. Jul 10, 2012 #2

    phinds

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    Gold Member
    2016 Award

    This should be treated as a homework problem. That is, read the rules for posting homework problems and follow them. Show some of your own work so that we get a feel for what you do/do not know.
     
  4. Jul 10, 2012 #3

    berkeman

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    Staff: Mentor

    Welcome to the PF.

    As phinds points out, for schoolwork-type questions like this, we want you to try to figure out most of it on your own.

    The framework for this type of problem is algebra. You define a variable or two in ways that will be useful for the calculation, and then you write an equation or two that converts the "word problem" into algebraic equations. You then solve the equations for your unknowns.

    So in this problem, you are wanting to choose the least expensive option, right? So make one of your variables the total cost for a year of service. Can you now write a couple of equations using the numbers above to calculate the total cost for a year for each of the two options?
     
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