Mathematics, 22.01.2021 20:40 tddreviews
Matthew is graduating from college in two years, but he will need a loan in the amount of $21,059 for his last four semesters. He may either receive an unsubsidized Stafford Loan with an interest rate of 6.8%, compounded monthly, or his parents may obtain a PLUS Loan with an interest rate of 7.8%, compounded monthly. The Stafford Loan has a grace period of six months from the time of graduation. Which loan will have a higher balance at the time of repayment and by how much? (4 points)
The PLUS Loan has a higher balance by $627.73.
The PLUS Loan has a higher balance by $484.23.
The Stafford Loan has a higher balance by $831.71.
The Stafford Loan has a higher balance by $347.47.
Answers: 3
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Matthew is graduating from college in two years, but he will need a loan in the amount of $21,059 fo...
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