Question: When taking out a loan, is it better ( for the borrower ) for the loan to have a high or low APR? Question content
When taking out a loan, is it betterfor the borrower for the loan to have a high or low APR?
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Part
Select the correct choice.
A
A high APR is better, because the bank will pay more interest to the borrower each period.
B
A high APR is better, because there will be more periods where interest is accrued, and less interest will be accrued in each period.
C
A low APR is better, because the interest accrued over the same number of periods will be less.
D
A low APR is better, because there will be fewer periods where interest is accrued.
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