Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Wei-Jen needs to borrow $6000. She can borrow from a finance company at 6.80% add-on interest for 3 years. Or she can borrow from a

image text in transcribed

Wei-Jen needs to borrow $6000. She can borrow from a finance company at 6.80% add-on interest for 3 years. Or she can borrow from a credit union (36 monthly payments of $199.28 each.) Find each APR and determine the better choice. # of monthly payments (n) 10.0 APR 10.5 APR 11.0 APR 11.5 APR 12.0 APR 12.5 APR 13.0 APR 10.75 11.30 11.86 12.42 12.98 13.54 14.10 16.16 17.01 17.86 18.71 19.57 20.43 21.74 22.90 24.06 25.23 26.40 28.77 27.48 28.96 30.45 31.96 33.47 34.99 36.52 24 36 21.30 27.58 % Use the table to find the APR for the finance company loan. (Round to the nearest half percent.) % Use the table to find the APR for the credit union loan. (Round to the nearest half percent.) Which is the better choice? O Finance Company O Credit Union

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Multinational financial management

Authors: Alan c. Shapiro

10th edition

9781118801161, 1118572386, 1118801164, 978-1118572382

More Books

Students also viewed these Finance questions