Maggie Wants to Open a Checking Account That Will Be

question 93

Essay

Maggie wants to open a checking account that will be the least expensive given her normal financial transactions.She typically writes 15 checks a month and uses an ATM 35 times a month.Her minimum checking balance falls to about $350 in an average month.Which of the following accounts would be least expensive for Maggie? (Show all your work.)
Account A:
∙No monthly fee is charged if a minimum balance of at least $300 is maintained.
∙A $5.00 fee is charged in any month the minimum balance falls below $300.
∙An ATM fee of $0.10 per transaction is charged on all transactions.
Account B:
∙No monthly fee is charged if a minimum balance of at least $500 is maintained.
∙A $3.00 fee plus $0.10/check is charged in any month the minimum balance falls below $500.
∙There is no ATM fee on transactions.

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Definitions:

Clinical Method

A set of procedures used in therapy and psychology for diagnosing, assessing, and treating mental health disorders.

Freud

Sigmund Freud, an Austrian neurologist and the founder of psychoanalysis, a clinical method for treating psychopathology through dialogue between a patient and a psychoanalyst.

Western Cultural Prejudice

A bias or judgment based on the standards and values of Western societies, often ignoring or devaluing those of other cultures.

Karen Horney

A psychoanalyst best known for her theory on neurosis, which challenged traditional Freudian views, particularly regarding female psychology.