Question

Option 1: $4000 at 3% interest for 6 years Option 2: $4000 at 8% interest for 5 years Option 3: $4000 at 4% interest for 4 years Option 4: $4000 at 8% interest for 3 years Which is the best option where you would pay back the loan with the least expenditure? A) Option 1 B) Option 2 C) Option 3 D) Option 4

Answer 1

Option 1: 720
Option 2: 1,600
Option 3: 640
Option 4: 960

The formula for interest is this:
amount • percentage (in decimal form) • time

Answer 2

the answer is C)option 3