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kenny6666 [7]
3 years ago
12

Gilbert is graduating from college in twelve months, but he will need a loan in the amount of $5,125 for his last two semesters.

He may either receive an unsubsidized Stafford Loan with an interest rate of 6.8%, compounded monthly, or his parents may get a PLUS Loan with an interest rate of 7.8%, compounded monthly. The Stafford Loan has a grace period of six months from the time of graduation. Which loan will have a higher balance at the time of repayment and by how much? (3 points)
The Stafford Loan has a higher balance by $134.35. The Stafford Loan has a higher balance by $274.36. The PLUS Loan has a higher balance by $54.79. The PLUS Loan has a higher balance by $85.22.
Mathematics
1 answer:
FrozenT [24]3 years ago
8 0
<span>Stafford: $ 5,673.71 PLUS: $ 5,539.36</span>
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