You are considering between two loans Assume everything between these two loans is the same except for the interest rate Loan A offers 5 5 compounded weekly Loan B offers 5 64 compounded semiannually Which loan is better and why Loan A because the actual rate is 5 65 is lower than Loan Bs actual rate Loan A because 5 5 is lower than Loan Bs 5 64 Loan B because the actual rate is 5 72 is higher than Loan As actual rate Loan B because 5 64 is higher than Loan As 5 5 None of the above

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Question: You are considering between two loans. Assume everything between these two loans is the same except for the interest rate. Loan A offers 5.5% compounded

You are considering between two loans. Assume everything between these two loans is the same except for the interest rate. Loan A offers 5.5% compounded weekly. Loan B offers 5.64% compounded semiannually. Which loan is better and why?

		Loan A because the actual rate is 5.65% is lower than Loan Bs actual rate.
		Loan A because 5.5% is lower than Loan Bs 5.64%.
		Loan B because the actual rate is 5.72% is higher than Loan As actual rate.
		Loan B because 5.64% is higher than Loan As 5.5%.
		None of the above.

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