INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement.
-You are borrowing $5,000 at 9%.You may choose a 24 or 36 month repayment plan.The total finance cost will be higher with the [24 | 36] month plan.
A)for the first item
B)for the second item
C)if neither item will correctly complete the statement.

Question

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-You are borrowing $5,000 at 9%.You may choose a 24 or 36 month repayment plan.The total finance cost will be higher with the [24 | 36] month plan.
A)for the first item
B)for the second item
C)if neither item will correctly complete the statement.

Quizplus · Accepted Answer

The longer the repayment plan, the more months there are for interest to accrue, so the finance cost will be higher for the 36 month plan compared to the 24 month plan.

INSTRUCTIONS: Choose the Word or Phrase in [ ] Which