Andrea is saving for a down payment on a condo. She currently has $26,000 saved and she plans to save another $880 at the end of each quarter for the next 3 years. How much will she have at the end of 3 years if she earns 6.2% compounded quarterly? $35,568.78 $48,369.54 $9,568.78 $39,569.48 $42,778.75

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Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.