question 6 of 8 aisha needs a loan to finance her latest startup. she wants a loan with the lowest overall…

question 6 of 8 aisha needs a loan to finance her latest startup. she wants a loan with the lowest overall interest costs. shes considering a 3 - year loan with an 8% fixed interest rate or a 5 - year loan with a 6% fixed interest rate. why would aisha pick the 3 - year loan? select a response. it has a lower total cost. it has a smaller monthly payment. it has a lower interest rate. it has a higher loan amount.

question 6 of 8 aisha needs a loan to finance her latest startup. she wants a loan with the lowest overall interest costs. shes considering a 3 - year loan with an 8% fixed interest rate or a 5 - year loan with a 6% fixed interest rate. why would aisha pick the 3 - year loan? select a response. it has a lower total cost. it has a smaller monthly payment. it has a lower interest rate. it has a higher loan amount.

Answer

Brief Explanations:

Aisha wants to minimize interest costs. The 3 - year loan has a shorter term and although the interest rate is higher than the 5 - year loan's rate, over a shorter time period, the total amount of interest paid is likely to be less, resulting in a lower total cost.

Answer:

It has a lower total cost.