A consumer knows with certainty that he will go to the gym 10 times every month for 12 months. He is offered two types of memberships. The first membership is a flat monthly rate of $\$ 55$ for unlimited use and the second membership plan is a $\$ 10$ one-time fee and $\$ 5$ per visit. The consumer should buy the first membership plan .

Question

Quizplus · Accepted Answer

In a year, the consumer would spend $\$ 660$ if he chooses the first plan and $\$ 10+\$ 50+11 *(\$ 50)=\$ 610$ on the second plan.

A Consumer Knows with Certainty That He Will Go to the Gym