Mr. Smith wants to buy a new dining room table that costs $1,500. He has $2,000 in cash, a $500 gift card, and a credit card with a $1,000 limit. Identify the payment method that can cover the cost of the new table
Mr. Smith can cover the cost of the new dining room table with the following payment methods:
1. Cash: Mr. Smith has $2,000 in cash, which is more than enough to cover the cost of the table. So, he can pay the entire $1,500 in cash.
2. Gift card: Mr. Smith has a $500 gift card, which can be used towards the purchase. Therefore, he can use the gift card to pay for a portion of the cost. If he chooses to do so, he can then use cash or the credit card to cover the remaining amount.
3. Credit card: Mr. Smith's credit card has a $1,000 limit, which can also be used towards the purchase. If he chooses to use his credit card, he can pay $1,000 using the credit card and then use cash or the gift card for the rest of the amount.
In summary, Mr. Smith can choose to pay for the new dining room table with cash, gift card, credit card, or a combination of these methods, depending on his preferences and financial situation.