George and samantha both applied for a personal loan at westside bank. george has a credit score of 650. samantha has a credit score of 520. the bank approved george’s loan application at 5.6% interest. samantha was approved for the same loan amount, but, because of her lower credit rating, the interest charged on samantha’s loan is 3 percentage points higher than the interest rate on george’s loan. what interest rate does samantha pay to the bank?

a. 8.6%

b. 5.9%

c. 3.0%

d. 2.6%

Option A

Interest rate paid by Samantha to bank is 8.6 %

Solution:

Given that George has a credit score of 650

Samantha has a credit score of 520

The bank approved George’s loan application at 5.6% interest

To find: Interest rate paid by samantha to the bank

From given information in question,

Interest charged on Samantha’s loan is 3 percentage points higher than the interest rate on George’s loan

Thus we get,

Interest charged on Samantha’s loan = 3 percentage points higher than the interest rate on George’s loan

Interest charged on Samantha’s loan = 3 % higher than the interest rate on George’s loan

Interest charged on Samantha’s loan = 3 % + interest rate on George’s loan

Thus substituting the given George’s loan application at 5.6% interest,

Interest charged on Samantha’s loan = 3 % + 5.6 % = 8.6 %

Thus interest rate paid by samantha to bank is 8.6 %

for the first question it would be the second answer for the second question it would be the third answer and for the third question it would be the first answer

step-by-step explanation:

answer: 298143

step-by-step explanation: