CHOICES:

1) 4,400.00

4,200

4,000

4,600

2) 57,750

60,375

55,125

52,500

Consider this case: Uninode Inc. needs to take out a one-year bank loan of $600,000 and has been offered loan terms by two different banks. One bank has offered a simple interest loan of 8% that requires monthly payments. The loan principal will be paid back at the end of the year. Another bank has offered 5% add-on interest to be repaid in 12 equal monthly installments. Based on a 360-day year, what will be the monthly payment for each loan for November? (Hint: Remember that November has 30 days.) Value Simple interest monthly payment $4,000.00 Add-on interest monthly payment $52,500.00