Hayhayz
  • Hayhayz
One bank offers a 4% variable rate loan, while a competitor offers a 3% fixed rate loan over the same period. Assuming no other differences between the loans, a customer should choose the fixed rate loan because A. the interest rate is higher and guaranteed to increase B.the interest rate is higher but will not increase C.the interest rate is lower and will not increase D.the interest rate is lower but is likely to increase
Economics - Financial Markets
  • Stacey Warren - Expert brainly.com
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SOLVED
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chestercat
  • chestercat
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Hayhayz
  • Hayhayz
@just_one_last_goodbye
just_one_last_goodbye
  • just_one_last_goodbye
HEY SEXY LADY!!! ~points at you~ Opa Opa Opa Gangnam Style
Hayhayz
  • Hayhayz
LOL

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Hayhayz
  • Hayhayz
You know this or nah haha
just_one_last_goodbye
  • just_one_last_goodbye
Lol im thinking xD
just_one_last_goodbye
  • just_one_last_goodbye
Idk im sorry;-;
just_one_last_goodbye
  • just_one_last_goodbye
is there another?
Hayhayz
  • Hayhayz
http://prntscr.com/9fe5ho
just_one_last_goodbye
  • just_one_last_goodbye
dear lord...
Hayhayz
  • Hayhayz
answer choices http://prntscr.com/9fe5p3
Hayhayz
  • Hayhayz
LOL
just_one_last_goodbye
  • just_one_last_goodbye
I think C not 100% sure
Hayhayz
  • Hayhayz
okay ima tag others to help with the first but idk whos good at this subject haha @jabez177
just_one_last_goodbye
  • just_one_last_goodbye
Oh thats my best friend :D
Hayhayz
  • Hayhayz
does your bestfriend know economics xD
just_one_last_goodbye
  • just_one_last_goodbye
Steven for real you posting my lines in chat? :O
jabez177
  • jabez177
Indeed I do. Better than him. :)
jabez177
  • jabez177
May you please post the whole question in one link or take a snapshot of it all together?
Hayhayz
  • Hayhayz
i just need help on this one: One bank offers a 4% variable rate loan, while a competitor offers a 3% fixed rate loan over the same period. Assuming no other differences between the loans, a customer should choose the fixed rate loan because A. the interest rate is higher and guaranteed to increase B.the interest rate is higher but will not increase C.the interest rate is lower and will not increase D.the interest rate is lower but is likely to increase
jabez177
  • jabez177
Which one do you think is the answer?
Hayhayz
  • Hayhayz
C? im not good with this kind of thing haha
jabez177
  • jabez177
Yes, it's either C or D but I'm leaning more on D, re-read it a couple times mate.
Hayhayz
  • Hayhayz
i found this for fixed rate loan :A loan in which the interest rate does not change during the entire term of the loan. For an individual taking out a loan when rates are low, the fixed rate loan would allow him or her to "lock in" the low rates and not be concerned with fluctuations. On the other hand, if interest rates were historically high at the time of the loan, he or she would benefit from a floating rate loan, because as the prime rate fell to historically normal levels, the rate on the loan would decrease.
jabez177
  • jabez177
Ahh yes, C is the answer then. :D
Hayhayz
  • Hayhayz
Thank you for the help! :D

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