4. Store G offers a lunch kit that Karen likes for 10% off its regular price of $20. Store H sells the same lunch kit for $18.50, before a $6.00 mail-in rebate. Where should Karen purchase the lunch kit? Explain your reasoning. (Be sure to consider the cost of postage, as well as the time and effort required to mail in the rebate request in your response.)

Question

4. Store G offers a lunch kit that Karen likes for 10% off its regular price of $20. Store H sells the same lunch kit for $18.50, before a $6.00 mail-in rebate. Where should Karen purchase the lunch kit? Explain your reasoning. (Be sure to consider the cost of postage, as well as the time and effort required to mail in the rebate request in your response.)

Answer 1

To determine where Karen should purchase the lunch kit, let's compare the total cost at Store G and Store H.

At Store G, the lunch kit is offered at a discount, 10% off its regular price of $20. Thus, 10% of $20 is $2. The discounted price at Store G would be $20 - $2 = $18.

At Store H, the lunch kit is sold for $18.50. However, there is an additional mail-in rebate of $6.00. Therefore, the initial cost at Store H would be $18.50 - $6.00 = $12.50 after the rebate is applied.

Now, let's compare the total cost at both stores:

Store G: $18
Store H: $12.50

Considering the cost of postage to mail the rebate request, as well as the time and effort required, it would be more beneficial for Karen to purchase the lunch kit from Store G. The price at Store G is only $18, which is lower than the $12.50 at Store H.

Additionally, there is no need to go through the process of mailing the rebate request and waiting for the rebate to arrive. This saves Karen time and effort. Therefore, Store G offers the better deal for Karen.