AAFM Exam CWM_LEVEL_2 Topic 1 Question 83 Discussion

Actual exam question for AAFM's CWM_LEVEL_2 exam

Question #: 83
Topic #: 1

Section C (4 Mark)

Read the senario and answer to the question.

If Mr. Mehta is paying interest rate 12%p.a on his housing loan and 10% p.a. on car loans, in how many months would he pay off his housing loan and car loan?

AHouse loan-321 month, Car Loan-129 months

BHouse loan-540 month, Car Loan-318 months

CHouse loan-342 month, Car Loan-249 months

DHouse loan-432 month, Car Loan-429 months

Show Suggested Answer

Suggested Answer: B

by Arletta at Jul 17, 2024, 07:27 PM

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Kaitlyn

7 months ago

Wow, that's a lot of months to pay off a loan! I hope Mr. Mehta has a good retirement plan in place.

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Curtis

6 months ago

Hopefully he has a solid financial plan for his retirement.

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Lina

6 months ago

I agree, Mr. Mehta must have taken quite a bit of time to pay off both loans.

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Viola

6 months ago

I know, those interest rates can really add up over time.

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Carri

7 months ago

This is a tricky one. I'll need to double-check my calculations, but I'm leaning towards Option C as well.

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Oren

6 months ago

Let's go with Option C then. It seems like the most logical answer.

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Celia

6 months ago

I agree. Option C seems like the most reasonable choice based on the interest rates provided.

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Eileen

6 months ago

That's true. Once we have that, we can figure out how many months it would take to pay off each loan.

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Kimberely

6 months ago

I think the key is to calculate the total amount of interest paid on each loan first.

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Rochell

8 months ago

Option B is way too long for the repayment periods. That can't be right.

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Jade

7 months ago

I also think option A is the most likely answer based on the interest rates.

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Curt

7 months ago

Yeah, I agree. Option B does seem too long for both loans.

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Joni

7 months ago

I think option A seems more reasonable for the repayment periods.

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Eun

8 months ago

I calculated it and I am confident that the answer is D.

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Chi

8 months ago

I'm not sure about this one. The numbers seem a bit high, but I guess it depends on the loan amount and other factors.

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Rickie

8 months ago

I'm leaning towards B, it seems more reasonable to me.

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Aliza

8 months ago

Option C looks like the correct answer to me. The calculations seem to make sense.

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Marsha

7 months ago

I agree, option C looks like the right answer.

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Ty

7 months ago

Yeah, the calculations seem to add up.

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Terrilyn

7 months ago

I think option C is correct.

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Sommer

7 months ago

Yes, option C does seem like the most logical choice.

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Sue

7 months ago

I agree, the calculations seem to add up.

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Stephaine

8 months ago

I think option C is correct.

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Ozell

8 months ago

I disagree, I believe the answer is C.

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Daron

9 months ago

I think the answer is A.

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