### Compute the APR and EAR of both loans

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You decide to borrow \$100,000 with a choice of two 4-year loans:

Plan A requires quarterly payments of \$3,100 for the first year, \$7,100 for the second and third year, and \$11,100 for the fourth year.

Plan B requires quarterly payments of \$11,000 for the first year, \$7,000 for the second and third year, and \$3,000 for the fourth year.

{a} Compute the APR and EAR of both loans.

{b} Which loan should you take and why?

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