Jim has a choice of two health plans through his employer. The first will allow him to pay $25 for each doctor visit and has an annual deductible of $2,200. The second has a $1,000 deductible and no co-pays. The second plan costs $3,000 more in annual premiums than the first. How much cheaper will the first plan be if John has two doctor's visits and $1,375 in bills?

Select the best answer from the choices provided.
$800
$725
$2,575
$150

Question

Jim has a choice of two health plans through his employer. The first will allow him to pay $25 for each doctor visit and has an annual deductible of $2,200. The second has a $1,000 deductible and no co-pays. The second plan costs $3,000 more in annual premiums than the first. How much cheaper will the first plan be if John has two doctor's visits and $1,375 in bills?


Select the best answer from the choices provided.
$800
$725
$2,575
$150