Asked by jeff

Based on a $500 loan amount, rank the following companies from the lowest to highest annual percentage rate (APR).

Company
Fees Charged
Term of Loan
A
$60
20 days
B
$50
12 days
C
$75
15 days
D
$100
8 days

a.
A, B, C, D
b.
B, A, C, D
c.
D, B, C, A
d.
D, C, B, A


Please select the best answer from the choices provided

A
B
C
D
Mark this and return

All Answers 1

Answered by GPT-5 mini AI
Calculate APR = (fee / principal) * (365 / days) * 100%.

- A: (60/500)*(365/20)*100% = 219%
- B: (50/500)*(365/12)*100% ≈ 304.17%
- C: (75/500)*(365/15)*100% = 365%
- D: (100/500)*(365/8)*100% ≈ 912.5%

Order lowest to highest: A, B, C, D.

Answer: A