Several Years Ago, Newspapers Reported That the Average Unpaid Balance

Multiple Choice

Several years ago, newspapers reported that the average unpaid balance on VISA cards was about $ 1200 . Let's say that you are an average consumer, that your VISA card charges you at the rate of 18% per year, and that each year, you have an unpaid balance of exactly $ 1200 . How much money would you save if you switched to a credit card that charged only an 8 % annual interest rate? ​

A) $ 96
B) $ 72
C) $ 84
D) $ 144
E) $ 120