Kent wants to take out a 2 year, $40,000 loan from the bank. The bank offers him a choice of the following 2 loans. 1. 2 Year, single payment, simple interest, add-on loan at a 9.5% rate 2. 2 Year, single payment, simple interest, discount loan at a 9.25% rate Which loan has the highest APR and how much is it? Loan 1, APR is 9.5%. Loan 2, APR is 9.25% Either, the APR is the same for both. Loan 2, APR is 11.35% Kent wants to take out a 2 year, $40,000 loan from the bank. The bank offers him a choice of the following 2 loans. 1. 2 Year, single payment, simple interest, add-on loan at a 9.5% rate 2. 2 Year, single payment, simple interest, discount loan at a 9.25% rate Which loan has the highest APR and how much is it? Loan 1, APR is 9.5%. Loan 2, APR is 9.25% Either, the APR is the same for both. Loan 2, APR is 11.35%