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1 September, 15:29

Evelyn has taken out a college loan. She needs to pay $500 every month for two years to repay the loan. What kind of loan does she have? A. a fixed-rate loan B. a variable-rate loan C. a constant-rate loan

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  1. 1 September, 15:33
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    I think your answer is A. This sounds like a fixed-rate loan.
  2. 1 September, 15:33
    0
    Option A. a fixed-rate loan - is the right answer.

    Step-by-step explanation:

    Evelyn has taken out a college loan. She needs to pay $500 every month for two years to repay the loan.

    As the monthly payment is same, this shows that the loan must be fixed rate.

    If it would have been a variable rate loan, the monthly payments will not be the same for the loan tenure. They will change with time.

    So, the answer is - A. a fixed-rate loan
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