Which type of borrowing option would most likely result in the borrower paying the highest amount of interest?
A. A card with a high compound interest rate
OB. A card with a low simple interest rate
ООО O
C. A card with a low compound interest rate
D. A card with a high simple interest rate

You are in the market for a new refrigerator for your company’s lounge, and you have narrowed the search down to two models. the energy efficient model sells for $700 and will save you $45 at the end of each of the next five years in electricity costs. the standard model has features similar to the energy efficient model but provides no future saving in electricity costs. it is priced at only $500. assuming your opportunity cost of funds is 6 percent, which refrigerator should you purchase