Interest on a Twelve-Month Installment Loan Is to Be Calculated

question 96

Multiple Choice

Interest on a twelve-month installment loan is to be calculated using the discount method.If the purchase to be financed is $1,000 and the discount rate is 6%,then your monthly payment is about

• A)$76.67.
• B)$86.07.
• C)$88.33.
• D)$88.65.

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Definitions:

Opportunity Costs

The cost of forgoing the next best alternative when a decision is made to pursue a particular action.

Relationship Strategies

Techniques and approaches used to build, maintain, and enhance interactions with customers and other stakeholders.

Social Bonds

The connections between individuals and the community, fostering a sense of belonging and mutual support.