You Are Considering Applying for One of Two Credit Cards

Multiple Choice

You are considering applying for one of two credit cards. Credit card "A" has an annual fee of $30 and charges interest of 10%. Credit card "B" has no annual fee, but charges an interest rate of 15%. If you carry an average balance of $500 on your credit card, the lowest total annual expenses you could have with one of these two credit cards would be

A) $50.
B) $80.
C) $75.
D) $90.