Grisha needs to borrow $1200 for an automobile repair. She finds that Bank A charges 5% simple interest on the amount borrowed for the duration of the loan and requires the loan to be repaid in six equal monthly payments. Bank B offers loans of $1200 to be repaid in 12 monthly payments of $103.30. Answer parts (a) through (d). Number of Payments 6 12 5.0% 1.46 2.73 5.5% 1.61 3.00 Annual Percentage Rate 6.5% 7.0% 7.5% 6.0% 8.0% (Finance charge per $100 of amount financed) 1.90 2.05 2.20 3.56 3.83 4.11 1.76 3.28 a) How much interest is charged by Bank A? Bank A charges $ in interest. (Type an integer or a decimal.) 2.35 4.39 8.5% 2.49 4.66 9.0% 2.64 4.94

Grisha needs to borrow $1200 for an automobile repair. She finds that Bank A charges 5% simple interest on the amount borrowed for the duration of the loan and requires the loan to be repaid in six equal monthly payments. Bank B offers loans of $1200 to be repaid in 12 monthly payments of $103.30. Answer parts (a) through (d). a) How much interest is charged by Bank A ? Bank A charges $ in interest. (Type an integer or a decimal)