After reading the passage, answer question that follows.
"Have you an automobile yet?"
"No, I...
After reading the passage, answer question that follows.
"Have you an automobile yet?"
"No, I talked it over with John and he felt we could not afford one."
"Mr. Budge who lives in your town has one and they are not as well off as you are."
"Yes I know. Their second installment came due, and they had no money to pay it."
"What did they do? Lose the car?"
"No, they got the money and paid the installment."
"How did they get the money?"
"They sold the cook-stove."
"How could they get along without a cook-stove?"
"They didn't. They bought another on the installment plan."
According to the passage above, what is the main advantage of buying on credit?
The installments are due once a month.
People could buy goods they could not otherwise afford.
People knew not to buy goods they could not afford.
Buying on credit taught consumers how do budget their income efficiently.
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