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August 31, 2009


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"This experience reminded us that you always need to do the math to determine the best deal -- you can't assume anything (like that longer time periods are always better deals.)"

But don't forget to factor in the fact that the prices might have changed when it's time to renew in 3 months. If the price goes up (or down), that would significantly affect the analysis.

I wonder why the rate for three months is proportionally cheaper than six months? On a similar note, I noticed the same thing with canned tuna, buying smaller cans comes out cheaper than buying the large cans. So many people won't, or can't, do the math.

Indeed. Companies also gain on cash flow by having a pre paid year or multi year memberships so should be offering substantial discounts.

The math is very important.

On another note, have you ever tried to break down the nightly cost of your house instead of looking at it like monthly or annual payments? It can be eye-opening when you find out an upscale house is costing well north of $100 a night!


I can't remember all the details but at Der Weinershnitzel, I noticed that the combo meals were actually more expensive than buying everything separately! I was surprised as I discovered this fact after I paid for my meal. I mentioned this to the staff, who then did the math herself and hung her head in shame when she realized I was right. She offered to return the difference but I was in a rush so, I let it go. Try doing the math at the fast food joints sometime. You might be surprised.

I can relate. I am amazed at how some "bulk" deals aren't always the best. It's like when you go to Costco or buy some things in bulk. Make sure you do the math as sometimes it is cheaper to buy smaller packages at the grocery store!

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