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OpenStudy (anonymous):
@surjithayer Cassidy is buying a house and is looking for the best home loan to pay for her purchase. What loan should she choose? A. Loan with the highest APY B. Loan with the highest APR C. Loan with the lowest APY D. Loan with the lowest APR
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OpenStudy (anonymous):
i have no clue
OpenStudy (tkhunny):
#1 - It's a loan. Why would "highest" make any sense at all. #2 - What do APY and APR stand for. The answer is in the definitions.
OpenStudy (tkhunny):
It is a very poorly understood concept that APR is of very little value. No direct comparison can be made with only competing APRs. Compounding methods are included in APY and this creates a useful comparison.
OpenStudy (anonymous):
APEX: Loan with the lowest APR
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