After Reviewing Brenda's Current Financial Situation, Ronald, Her Friend, Assesses

question 113

Multiple Choice

After reviewing Brenda's current financial situation, Ronald, her friend, assesses that she has an unpaid credit card balance of $4,500, on which an annual percentage rate of 15% is applicable. In this case, the best advice that Ronald can give Brenda is to:

• A) increase the annual percentage rate on her credit cards.
• B) switch credit card companies as many companies offer benefits such as frequent-flier miles.
• C) keep using the card and not to worry about the balance because all interest is tax deductible.
• D) place a high priority on eliminating her credit card balance as quickly as possible.

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Definitions:

Bipolar Disorder

A disorder associated with episodes of mood swings ranging from depressive lows to manic highs.

Lithium

A chemical element used primarily in psychiatric medication to treat mood disorders such as bipolar disorder.

Benzodiazepines

Benzodiazepines are a class of psychoactive drugs used primarily for treating anxiety, insomnia, and certain types of seizures, characterized by their tranquilizing effects.

Minor Tranquilizers

A class of medications used to treat anxiety and insomnia by calming or depressing the central nervous system.