Atertax cost of debt Personal Finance Problem Bela Wans is interested in buying a new motorcycle. She has decided to borow the money to pay the $25.000 purchase price of the bike. She is in the 25% income tax bracket She can either borrow the money at an interest ate of 4% from the motorcycle dealer, or she oould take outa second mortgage on her home. That mortgage would come with an interest rate of %. Interest payments on the mortgage woud be tax deductible for Bela, but interest payments on the loan from the motorcycle dealer coukd not be deducted on Bela's federal tax retum. Caloulate the after tex cost of bomowing from the motorcydle dealership b. Caloulate the atertax cost of bomowing through a e. Which source of bomowing is less costly for Bela? d. Should Bela consider any oher factors when deciding which loan to take out second mortgage on Bela's home a The ahertax cost of bomowing trom the motorcyde dealership isN (Round to the nearest whole percentage) b. The ahertax cost of bomowing throughasecond mortgage in (Round to two decimal places) e. Which source of borrowing is less costly for Bela? (Select the best answer below OA Bela should borow by taking the second mortgage. OB. Both loars have the same te of 2, oE OC. Boh loars have the same rte of 25%, so Bella shoud choose the loan she likes best OD. Bela shoud borrow by taking the dealership loan. Bela should not take ther loan 4. is here any oter considerton that Bella gh irk about when deciding which loan to take out to pay for the motoryce (elect he best answer below) OA Usirg the toye deerip lon does pu Bela tk of losing her home fshe is unable to make the loan payments OB Urg the second home mongage des pu Bela t risk of losing her motorcyclefshe is unablet e he mortgage pyments OC Uurg the second home motgage does put Bela at isk of loing her home f she iurabletomake he motgage payments OD. Using the motorye delership loan dos put Bela at k of losing her home and motoryclef she isunaletomake the loan payments Cick to sect your arewer MacBook All esc 20 F5 T6 F10 %23 %24 & 6. delete P. fab Atertax cost of debt Personal Finance Problem Bela Wans is interested in buying a new motorcycle. She has decided to borow the money to pay the $25.000 purchase price of the bike. She is in the 25% income tax bracket She can either borrow the money at an interest ate of 4% from the motorcycle dealer, or she oould take outa second mortgage on her home. That mortgage would come with an interest rate of %. Interest payments on the mortgage woud be tax deductible for Bela, but interest payments on the loan from the motorcycle dealer coukd not be deducted on Bela's federal tax retum. Caloulate the after tex cost of bomowing from the motorcydle dealership b. Caloulate the atertax cost of bomowing through a e. Which source of bomowing is less costly for Bela? d. Should Bela consider any oher factors when deciding which loan to take out second mortgage on Bela's home a The ahertax cost of bomowing trom the motorcyde dealership isN (Round to the nearest whole percentage) b. The ahertax cost of bomowing throughasecond mortgage in (Round to two decimal places) e. Which source of borrowing is less costly for Bela? (Select the best answer below OA Bela should borow by taking the second mortgage. OB. Both loars have the same te of 2, oE OC. Boh loars have the same rte of 25%, so Bella shoud choose the loan she likes best OD. Bela shoud borrow by taking the dealership loan. Bela should not take ther loan 4. is here any oter considerton that Bella gh irk about when deciding which loan to take out to pay for the motoryce (elect he best answer below) OA Usirg the toye deerip lon does pu Bela tk of losing her home fshe is unable to make the loan payments OB Urg the second home mongage des pu Bela t risk of losing her motorcyclefshe is unablet e he mortgage pyments OC Uurg the second home motgage does put Bela at isk of loing her home f she iurabletomake he motgage payments OD. Using the motorye delership loan dos put Bela at k of losing her home and motoryclef she isunaletomake the loan payments Cick to sect your arewer MacBook All esc 20 F5 T6 F10 %23 %24 & 6. delete P. fab