Question: Sky needs $6700 for school and has two options. Option A: 5 years at 5% interest with monthly payments of $126.44 Option B: 6 years

Sky needs $6700

for school and has two options.

Option A: 5

years at 5%

interest with monthly payments of $126.44

Option B: 6

years at 3.5%

interest with monthly payments of $103.30

Calculate the total payback on each loan and calculate how much Sky will save by choosing option B.

Total payback option A =

Total payback option B =

Sky will save $____by choosing loan option B.

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