Should this person open a credit card account? If they do decide to open the new credit card account, what’s one thing this individual should monitor? Marshall-Graduated college two years ago, and now lives a solidly middle-income lifestylePaying his student loans, rent, and all of his other expenses on-time• Has 6 credit cards open already, each of which he signed up for because of introductcperks like 0% interest for the first year, free airline miles, and 20% off his first month'spurchases at his favorite storePays his full balance each month and stops using the card once the initial featuresexpire.• Wants to open a 7th card that's offering free one-way flights to the Caribbean; hasenough money saved to pay for the return flight and other aspects of the vacation●●●

Credit cards are a type of payment card that allow individuals to borrow money up to a certain…

Answered: Should this person open a credit card…

Should this person open a credit card account? If they do decide to open the new credit card account, what’s one thing this individual should monitor?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Which of the following is most correct? Multiple Choice

A: Tax records refer to the documentation and information related to an individual or entity's tax…

Q: 2. Should you use a credit card when you can pay cash? Explain your reasons.

A: A credit card provides the holder access to funds for their use for which they have to pay later. It…

Q: What are the factors that make a person choose a bank? What are people looking for in a banking…

A: Bank is referred as the financial institution, which accepts the monetary deposits from the people…

Q: Describe each of the different types of credit card rewards programs. Which one do you like best and…

A: Some credit card gives incentives to the cardholders in the form of credit card rewards. Credit…

Q: If you want to ensure that your money will be secured if cheques sent are wasted in the post, you…

A: Crossing a cheque by account payee means cheque must be paid into the account of the person to whom…

Q: An employee opens customer payments, records them, and delivers the deposit to the bank is pressure,…

A: Fraud triangle is a theory used in auditing according to which there are three elements to cause the…

Q: WHAT DOES EXIM BANK JAMAICA DO?

A: Banks are very important for growth and development of any country.

Q: Banks? Banking Online? Is Banking Safe?

A: We can define financial institution as those institutions which help in the transfer of funds from…

Q: Why is it important to check your bank statement? What should you look for? Explain your answer.

A: The bank statement is prepared in order to record the transaction that is related to the banking…

Q: What is a common example of paying for risk transfer in everyday life? Purchasing a house Buying…

A: Risk is an important concept in finance. We face risks in all aspects of our life and more so in the…

Q: Is granting credit to customers good? And as a future business owner how would you handle or manage…

A: Explanation to Credit When products are sold to customers on credit and customers agree to pay the…

Q: Before taking out a consumer loan, you should be sure the purchase is compatible with your financial…

A: We may not always have the funds necessary to complete some tasks or purchase certain items.…

Q: Is your deposited money safer today in a struggling bank, or safer kept at your home? Explain your…

A: The safety of your money in a struggling bank versus keeping it at home depends on various factors…

Q: As a helpful amenity for customers making electronic payments, certain credit card issuers provide…

A: Virtual credit cards or credit card numbers that can be used only once are increasingly becoming…

Q: Is it ethical to use a company credit card to make an online Internet purchase if you will reimburse…

A: Companies provide corporate credit card facilities to the employees to facilitate the payment for…

Q: Credit Card Fraud and Identity Theft Loss of a credit card, the information on it, or your personal…

A: The objective of the question is to identify which behavior, A or B, is more likely to reduce the…

Q: Explain the difference between how you would characterize bank deposits and loans as assets and…

A: Balance sheet: This financial statement reports a company’s resources (assets) and claims of…

Q: According to Dave Ramseys seven baby steps plan. What would be the pros and cons of using a credit…

A: Dave Ramsey’s seven baby steps plans consists of plans which make an individual financially…

Q: True or false: An example of a soft inquiry would be a credit card company looking into your credit…

Q: Why it can be risky to provide credit card information over email/internet? Do you think, using a…

A: Answer: There is advancement of technology in todays world and there is scam and phishing. It can be…

Q: How can I manage keep my credit score high?

A: Credit Score: A credit score may be a range between 300–850 that depicts a consumer's…

Q: If you were a wise credit card user, under which of the following conditions would you consider…

A: Here the situation is person using the credit card and want to consider using the credit card to…

Q: You have been asked to write the Bank Reconciliation

A: Bank Reconciliation:- A bank reconciliation is that the method of matching the balances in an…

Q: How do sellers benefit from allowing their customers to use credit cards? Do sellers bear any risk…

A: Credit cards A card distributed by the bank to its customers who have good financial records is…

Q: A Letter of Credit (LC) is a document that guarantees the buyer's payment to the sellers. It is…

A: The Letter of Credit is provided for guaranteed payment in case of international trade. It allows…

Q: What is credit history? A record of a person's borrowing and repayment activity used to calculate…

A: Credit history checks if the borrower has been responsible with the debt payments or not. It checks…

Q: Explain why a loan officer always looks at a credit report before making a loan. What should you do…

A: The credit report is a way of assessing the credit history of the person seeking loan. By looking at…

Q: All credit cards are not alike, nor are all spenders alike. When you are deciding which credit card…

A: The objective of the question is to determine the best credit card option for Larry, who is not a…

Q: Critically discuss the effect of deposit insurance on bank stability.

A: The deposit insurance is an insurance product that is offered to reduce or eliminate the risk of…

Q: Write in your own words which type of bank account would you like to open and explain why .

A: A Bank generally offers either time deposit accounts or a demand deposit account, Time deposit…

Q: Can you go to jail for not paying your credit loan? Explain carefully

A: Loan is defined to as funds, which is given to some other party in exchange of repayment of loan…

Q: If you want to ensure that your money will be secured if Cheques sent are wasted in the post, you…

A: Cheques are negotiable instruments against which cash can be received. By crossing a cheque, the…

Q: Obtaining credit begins with you. After you complete a credit application, the lender decides if you…

A: The objective of the question is to identify the factors that lenders consider when evaluating a…

Q: Being an individual what services you are availing from your banker and what do you think is the…

A: Being an individual, the types of service which we can avail from our banks are as follows:

Q: Visit the web and find information on how social networks like Facebook have had some influence on…

A: The rules of credit card companies have been significantly influenced by Facebook and other social…

Q: Why should you and should not sign a personal guarantee for a business loan?

A: The personal guarantee for a business loan refers to the assurance by the company or a business…

Q: How does a Cash Clerk work? His/Her jobs and how does he/she do it? (Please be elaborate and…

A: A cashier clerk is largely responsible for consumer cash transactions. They can work in a variety of…

Q: How do banks use your credit reports? Sight an example to illustrate the answer

A: Answer: As per Q/A guidelines, first question has been answered. please repost remaining questions…

Question

Should this person open a credit card account? If they do decide to open the new credit card account, what’s one thing this individual should monitor?

Marshall-
Graduated college two years ago, and now lives a solidly middle-income lifestyle
Paying his student loans, rent, and all of his other expenses on-time
• Has 6 credit cards open already, each of which he signed up for because of introductc
perks like 0% interest for the first year, free airline miles, and 20% off his first month's
purchases at his favorite store
Pays his full balance each month and stops using the card once the initial features
expire.
• Wants to open a 7th card that's offering free one-way flights to the Caribbean; has
enough money saved to pay for the return flight and other aspects of the vacation
●
●
●

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Choose the correct answer: 5. Which of the following is considered effective? a. Certificates of Deposit b. Money Market Checking Accounts c. Money Market Savings Certificates d. Future-dated checks
Explain how Mudaraba and Musharaka are implemented in today’s banking system
how can using a mix of Accounts Receivable, Notes Receivable and accepting Credit Cards can benefit your business
A credit report keeps track of money you borrow from banks, credit card companies, and other lenders. O True O False
How can money be deposited into a Spruce account? Tax refund. Direct deposit. Linked bank account. All of the above.
Internet banking, also known as online banking or e-banking or Net Banking is a facility offered by banks and financial institutions that allow customers to use banking services over the internet. Customers need not visit their bank’s branch office to avail each and every small service. Not all account holders get access to internet banking. If you would like to use internet banking services, you must register for the facility while opening the account or later. You have to use the registered customer ID and password to log into your internet banking account.Internet banking service is available to any non-individual entity is called Corporate Internet Banking. Corporate Internet Banking comes with a host of benefits like: Visibility & access to accounts, Single Page view of accounts, deposits, loans, cards, etc. Visibility to average and projected balances of accounts Facility to download account statements in multiple formats Security and safe online banking - All transactions…
What are some benefits to a business in accepting credit cards and debit cards?
2. Should people have more than one credit card? Explain.
Credit cards provide consumers with what is known as revolving credit. True or false
Many people are still afraid and hesitant to utilize online payment systems or digital banking to pay for their bills, exchange money for their desired goods and services, and rely on the manual, face-to-face payment system. How would the banks encourage more people to lessen their doubt about these methods and utilize the modern payment system for safer, faster, and more efficient transactions? Support your answer using at least two concrete examples.
Which one of the following is true of a signature card? A. It is the same as a deposit receipt and acts as a proof of the deposit transaction. B. It can be used as a debit card. C. It can only be used for bank accounts of individuals, not for the bank accounts of businesses. D. It shows each authorized person's signature for a bank account.
Are there any regulations or procedures in place for source documentation and receipts for payments or purchases made by the nonprofit organization? Is it any difference whether you pay with petty cash, a cheque, or a credit card?