This chart shows the actual pricing history for three items.
Historical Pricing for Small-Scale Items
| Item | Retail price | Retail sale price | Price 6 months later | Auction price |
| ----------- | ------------ | ----------------- | ---------------------- | ------------- |
| Game system | $249 | - | $229 | $450 |
| Smart phone | $599 | - | $399 | - |
| DVD | $24 | $16 | $19 | - |
For which product(s) would it be most beneficial to wait before buying?
A. game system
B. smartphone
C. DVD
D. It's most beneficial to buy all now.
Answer (2)
Compare the retail price of the game system ($249) with the price 6 months later ($229). It's cheaper to wait.
Compare the retail price of the smartphone ($599) with the price 6 months later ($399). It's cheaper to wait.
Compare the retail sale price of the DVD ($16) with the price 6 months later ($19). It's cheaper to buy now.
It is most beneficial to wait before buying the game system and the smartphone.
Explanation
Analyzing the Problem We are given a table showing the pricing history of a game system, a smartphone, and a DVD. We need to determine for which product(s) it would be most beneficial to wait before buying. This involves comparing the current retail price (or retail sale price, if available) with the price 6 months later and the auction price (if available).
Analyzing the Game System For the game system, the retail price is $249, the price 6 months later is $229, and the auction price is $450. Since the price 6 months later ($229) is less than the retail price ($249), it would be beneficial to wait 6 months. The auction price is higher than the retail price, so the auction is not a good option.
Analyzing the Smartphone For the smartphone, the retail price is $599, and the price 6 months later is $399. Since the price 6 months later ($399) is less than the retail price ($599), it would be beneficial to wait 6 months.
Analyzing the DVD For the DVD, the retail sale price is $16, and the price 6 months later is $19. Since the price 6 months later ($19) is greater than the retail sale price ($16), it would not be beneficial to wait; it's better to buy now at the sale price.
Conclusion Therefore, it would be most beneficial to wait before buying the game system and the smartphone.
Examples
Understanding pricing trends can help you make smart purchasing decisions. For example, knowing when to buy seasonal items like winter clothes at the end of the season can save you money. Similarly, tracking the price of electronics over time can reveal the best time to buy, potentially saving you a significant amount. This strategy applies to various purchases, from groceries to travel, helping you optimize your budget and get the most value for your money.
It is most beneficial to wait before buying the Game System and Smartphone, as their prices decrease over time. The DVD should be purchased now due to a price increase in 6 months. Therefore, the chosen options are A and B.
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