SOLUTION: Pretend you are taking out a $5,000 loan that you will have to pay back within 5 years with 8% interest compounded monthly. What would be a more beneficial change to your repayment

SOLUTION: Pretend you are taking out a $5,000 loan that you will have to pay back within 5 years with 8% interest compounded monthly. What would be a more beneficial change to your repayment

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Question 874879: Pretend you are taking out a $5,000 loan that you will have to pay back within 5 years with 8% interest compounded monthly. What would be a more beneficial change to your repayment plan? Explain.
a) reducing the term to 4 years
b) reducing the interest rate to 6.5%
Thanks for any help, much is appreciated .
Answer by Alan3354(69443) (Show Source): You can put this solution on YOUR website!
beneficial is not a math term, not clearly defined.
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