Given the following information which financing method has the lowest interest cost? How much interest savings do you make by using the financing method with the lowest interest cost?

	Loan	Bankers acceptance
Amount	R2 500 000	R2 500 000
Term	180 days	180 days
Rate:	Prime + 2.5%	Bankers Acceptance rate + 2.5%
	8%+2.5%	6.9%+2.5%