Kay has decided to take out a $23,100 loan, and she wants to pay it back in quarterly installments. she has narrowed her options down to two banks. bank v offers a six-year loan with an interest rate of 4.6%, compounded quarterly, and has a service charge of $822.45. bank w offers an eight-year loan with an interest rate of 3.9%, compounded quarterly, and a service charge of $722.25. which loan will have the greater total finance charge, and how much greater will it be? round all dollar values to the nearest cent. a. loan w's finance charge will be $335.96 greater than loan v's. b. loan w's finance charge will be $436.16 greater than loan v's. c. loan v's finance charge will be $263.10 greater than loan w's. d. loan v's finance charge will be $100.20 greater than loan w's. this question is worth 20 points.

Using Present Value ordinary annuity formula for this question.

PVoa = PMT [(1 - (1 / (1 + i)^n)) / i]

The principle amount is $23100

Where i = rate and rate is to be divided by 4 to get quarterly installments.

n = years * 4 for quarterly compounding

For bank V: 23,100 = PMT[(1 - (1 / 1.0115^24)) / 0.0115]  

PMT = 1106.92*24 = $26566.08 + 822.45 = $27,388.53

This amount minus principal 27,388.53- 23,100 = $4,288.53

For bank W: 23,100 = PMT[(1 - (1 / 1.00975^32)) / 0.00975]  

PMT = 843.82*32 = $27002.24 + 722.25 = $27724.49

27724.49 -23,100 = $4,624.49

W - V = $335.96

Hence, option A is the right answer. Loan W's finance charge will be $335.96 greater than Loan V's.

Loan W's finance charge will be $335.96 greater than Loan V's.

Step-by-step explanation:

the bolded word " farsighted" could be replaced with visionary.

the above table 1 will calculate the population size (n) after a certain length of time (t). all you need to do is plug in the initial population number (no), the growth rate (r) and the length of time (t). the constant (e) is already entered into the equation. it stands for the base of the natural logarithms (approximately 2.71828). growth rate (r) and time (t) must be expressed in the same unit of time, such as years, days, hours or minutes. for humans, population growth rate is based on one year. if a population of people grew from 1000 to 1040 in one year, then the percent increase or annual growth rate is 40/1000 x 100 = 4 percent.

step-by-step explanation: