Question
1. You borrow $30,000 to help pay your college expenses. You agree to repay the loan at the end of 6 years at 8%
1. You borrow $30,000 to help pay your college expenses. You agree to repay the loan at the end of 6 years at 8% compounded quarterly. Your friend borrows the same amount as a 6-year subsidized loan at the interest of 8%. Your friend agrees to make monthly payments after graduating in 4 years. Who pays more interest to the loan? Show all your work.
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Entrepreneurial Finance
Authors: Philip J. Adelman; Alan M. Marks
6th edition
9780133099096, 133140512, 133099091, 978-0133140514
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