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Loan for Vehicle Loan APR Payment

#1 $20,000 for 66 months 2.17% $322

#2 $25,000 for 78 months 3.38% $357

#3 $30,000 for 84 months 4.35% $415

Which loan(s) would cost the borrower the least amount for the length of the loan?

ALoan #1
BLoan #3
CLoan #2 and #3
DLoan #1 and #3

Verified Answer :

wolf1728

Loan 1 ************ 32266 = 21,252
Loan 2 ************ 35778 = 27,846
Loan 3 ************ 41584 = 34,860

Looking at the totals, Loan 1 costs the least.

Answer:

A) Loan #1 would cost the borrower the least amount for the length of the loan.

Step-by-step explanation:

Loan 1 is the best for the borrowe, it would cost the borrower the least amount for the length of the loan due to the low interest rate of 2.17% and low period of payment 66 months compare to others which are 3.38% in 78 months, and 4.35% in 84 months.

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