I spend $15 per week on bus fares to work. One day I decide to buy a mountain bike for $2000 and to ride to work instead. Assuming I work 50 weeks in a year, what is the payback time for this investment?
A)two years five months
B)two years seven months
C)two years eight months
D)two years nine months
E)two years ten months

Question

Quizplus · Accepted Answer

The annual savings from not spending on bus fares is $15 * 50 = $750. The payback time is $2000 / $750 per year = 2.67 years, which is approximately 2 years and 8 months.

I Spend $15 Per Week on Bus Fares to Work