Interest Rate: Rachael Wants to Borrow $6,000 for a Period

question 24

Multiple Choice

Interest rate: Rachael wants to borrow $6,000 for a period of four years. She has two choices. Her bank is offering to lend her the amount at 7.25 percent compounded annually. She can also borrow from her company and will have to repay a total of $8,130.93 at the end of four years. Should Rachael go with her bank or the company, and what is the interest rate if she borrows from her company? (Round to the nearest percent.)

• A) Bank / 9%
• B) Company / 7%
• C) Bank / 8%
• D) Company / 6%

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Definitions:

Neuronal Damage

Injury to neurons, the nerve cells in the brain and nervous system, which can result from trauma, toxins, or disease.

Current Theories

The most recent and widely accepted explanations or models in a particular field of study.

Synaptic Space

The small gap between neurons, across which neurotransmitters travel to transmit signals from one neuron to another.

Cerebral Cortex

The outer layer of the brain's cerebrum, involved in complex brain functions, including thought, emotion, reasoning, and language.