Two loans are for the same amount at the same interest rate. One is paid off in 9 years; the other, in 18 years. (a) Which loan results in more of each payment being directed toward principal? Explain. (Multiple Choice) A. The 18 year loan results in more payment to principal since the loan is paid slower. B. The 9 year loan results in more payment to principal since the loan is paid slower. C. The 18 year loan results in more payment to principal since the loan is paid quicker. D. The 9 year loan results in more payment to principal since the loan is paid quicker. (b) Which loan results in a lower periodic payment? Explain. (Multiple Choice) A. The 9 year loan results in a lower periodic payment since the loan is paid slower. B. The 18 year loan results in a lower periodic payment since the loan is paid quicker. C. The 9 year loan results in a lower periodic payment since the loan is paid quicker. D. The 18 year loan results in a lower periodic payment since the loan is paid slower.
Two loans are for the same amount at the same interest rate. One is paid off in 9 years; the other, in 18 years. (a) Which loan results in more of each payment being directed toward principal? Explain. (Multiple Choice) A. The 18 year loan results in more payment to principal since the loan is paid slower. B. The 9 year loan results in more payment to principal since the loan is paid slower. C. The 18 year loan results in more payment to principal since the loan is paid quicker. D. The 9 year loan results in more payment to principal since the loan is paid quicker. (b) Which loan results in a lower periodic payment? Explain. (Multiple Choice) A. The 9 year loan results in a lower periodic payment since the loan is paid slower. B. The 18 year loan results in a lower periodic payment since the loan is paid quicker. C. The 9 year loan results in a lower periodic payment since the loan is paid quicker. D. The 18 year loan results in a lower periodic payment since the loan is paid slower.
Algebra and Trigonometry (6th Edition)
6th Edition
ISBN:9780134463216
Author:Robert F. Blitzer
Publisher:Robert F. Blitzer
ChapterP: Prerequisites: Fundamental Concepts Of Algebra
Section: Chapter Questions
Problem 1MCCP: In Exercises 1-25, simplify the given expression or perform the indicated operation (and simplify,...
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Two loans are for the same amount at the same interest rate. One is paid off in 9 years; the other, in 18 years.
(a) Which loan results in more of each payment being directed toward principal? Explain. (Multiple Choice)
(b) Which loan results in a lower periodic payment? Explain. (Multiple Choice)
A. The 18 year loan results in more payment to principal since the loan is paid slower.
B. The 9 year loan results in more payment to principal since the loan is paid slower.
C. The 18 year loan results in more payment to principal since the loan is paid quicker.
D. The 9 year loan results in more payment to principal since the loan is paid quicker.
B. The 9 year loan results in more payment to principal since the loan is paid slower.
C. The 18 year loan results in more payment to principal since the loan is paid quicker.
D. The 9 year loan results in more payment to principal since the loan is paid quicker.
(b) Which loan results in a lower periodic payment? Explain. (Multiple Choice)
A. The 9 year loan results in a lower periodic payment since the loan is paid slower.
B. The 18 year loan results in a lower periodic payment since the loan is paid quicker.
C. The 9 year loan results in a lower periodic payment since the loan is paid quicker.
D. The 18 year loan results in a lower periodic payment since the loan is paid slower.
B. The 18 year loan results in a lower periodic payment since the loan is paid quicker.
C. The 9 year loan results in a lower periodic payment since the loan is paid quicker.
D. The 18 year loan results in a lower periodic payment since the loan is paid slower.
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