Mark's mother is planning to borrow $25,000 to remodel the restaurant she owns. She contacted several loan companies, and she is comparing two different options.
Company 1 offers an interest rate of 5.25%.
Company 2 offers an interest rate of 8.5%.
Both loan options involve simple interest and must be repaid in exactly 3 years. How much
more will Mark's mother pay in interest if she chooses to borrow the money from Company 2?
O $812.50
o $3,937.50
O $2,437.50
O $6,350.00