Chico is considering taking out a 14-year loan with monthly payments of $185
at an APR of 2.7%, compounded monthly, and this equates to a loan of
$25,857.12. Assuming that Chico's monthly payment and the length of the
loan remain fixed, which of these is a correct statement?
A. If the interest rate were 3.1%, the amount of the loan that Chico is
considering would be more than $25,857.12
B. If the interest rate were 2.5%, the amount of the loan that Chico is
considering would be less than $25,857.12.
O
C. If the interest rate were 2.9%, the amount of the loan that Chico is
considering would be more than $25,857.12.
D. If the interest rate were 3.3%, the amount of the loan that Chico is
considering would be less than $25,857.12.