Question

value: 2
what is similar about paying with cash and getting a loan?
a. both ways require you to pay
b. both ways require you to speak with a bank
c. both ways require you to pay off interest
d. both ways require you to limit how many miles per year you can drive

Explanation:

• Option b is incorrect because paying with cash does not require interacting with a bank.
• Option c is incorrect because cash payments have no interest associated with them, unlike loans.
• Option d is irrelevant, as neither cash payments nor general loans impose annual driving mile limits.
• Option a is correct: when paying with cash, you immediately pay the full amount for a good/service; when taking a loan, you are obligated to pay back the principal (and often interest) over time, so both involve a payment obligation.

Answer:

a. Both ways require you to pay