If you need to take out a S50,000 student loan 2 years before graduating, which loan option will result in the lowest overall cost to you: a subsidined loan with 7.3% interest for 10 years, a federal unsubsidized loan with 5.75% interest for 10 years, or a private loan with 7.0% interest and a term of 17 years? How much would you save over the oher options? All payments are deferred for 6 months after graduation and the interest is capitalined. Part 1: Find the total cost of the subsidired loan The total cost of the subsidired loan is S Round your answer to two decimal places, if necessary.

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Loans

A loan is a term that we are all familiar with. The processing of loans is one of the most important functions of a bank. It keeps our economy stable and facilitates the implementation of monetary policies. Let's take a look at the different forms of loans and get some answers to some common questions.