v.Bridget Morrow is a sophomore at State College and is running out of money. Wanting to continue her education, Bridget is considering a student loan. Explain her options. How can she best minimize her borrowing costs and maximize her flexibility?

v.Bridget Morrow is a sophomore at State College and is running out of money. Wanting to continue her education, Bridget is considering a student loan. Explain her options. How can she best minimize her borrowing costs and maximize her flexibility? 


w. Assume that you’ve been shopping for a new car and intend to finance part of it through an installment loan. The car you’re looking for has a sticker price of $18,000. Auto Boss has offered to sell it to you for $3,000 down and finance the balance with a loan that will require 48 monthly payments of $333.67 Four Wheel Specialists will sell you the exact same vehicle for $3,500 down, plus a 60-month loan for the balance, with monthly pay- ments of $265.02. Which of these two finance packages is the better deal? 


x.Using the simple interest method, find the monthly payments on a $3,000 installment loan if the funds are borrowed for 24 months at an annual interest rate of 6 percent. 


y.Find the finance charges on a 6.5 percent, 18-month, single-payment loan when interest is computed using the simple interest method. Find the finance charges on the same loan when interest is computed using the discount method. Determine the APR in each case. 


z. Assuming that interest is the only finance charge, how much interest would be paid on a $5,000 installment loan to be repaid in 36 monthly installments of $166.10? What is the APR on this loan? 


aa. Todd Kowalski is borrowing $10,000 for five years at 7 percent. Payments, which are made on a monthly basis, are determined using the add-on method.
a. How much total interest will Todd pay on the loan if it is held for the full five-year term? b. What are Todd’s monthly payments? 
c. How much higher are the monthly payments under the add-on method than under the simple interest method