Justin Granovsky is an assistant manager at a small retail shop in Morgantown, West Virginia. He owes $$5,400$ to one bank, $$1,800$ to a clothing store, and $$2,700$ to his credit union. Justin is paying $$460$ per month on the three major obligations to pay them off when due in two years. He realized that his take$-$home pay of slightly more than $$3,100$ per month did not leave him with much excess cash. Justin discussed a different way of handling his major payments with his bank$$s loan officer. The officer suggested that Justin pool all of his debts and take out an $$11,000$ debt$-$consolidation loan for seven years at $14$ percent interest. As a result, he would pay only $$206$ per month for all his debts. Justin seemed ecstatic over the idea.

$($a$)$

Is Justin$$s enthusiasm over the idea of a debt$-$consolidation loan justified? Why or why not?

$($b$)$

Why can the bank offer such a $$good deal$$ to Justin?

$($c$)$

What compromise would Justin make to remit payments of only $$250$ as compared with $$460?$

$($d$)$

How much total interest would Justin pay over the seven years, and what would be a justification for this added cost?