Question: James wants to buy a television that costs $1400 So far, he has saved $500 but he still needs $900 more.

Question:James wants to buy a television that costs ​$1400

So​ far, he has saved ​$500

but he still needs ​$900

more. A bank will loan him ​$900

at 12​% annual interest

using a​ 90-day promissory note. James also visited a loan store for a​ "pay day" loan to compare the cost of borrowing. The manager told James that he could borrow ​$900

 at 12​% for two weeks.

 If James needed more time to repay the​ loan, he would be charged 16%***

on the balance due for each additional week.

 He wondered how much it would cost to pay the loan back in 12 weeks so he could compare the cost of the​ bank's lending rate.

James recognized that 12 weeks is a few days less than 90 days.

1) Calculate the total cost (principal plus interest) for the 90-day promissory note from the bank.

2) How much will James pay if he gets the loan from the PayDay Loan store and pays the balance back in two weeks?

3]How much will it cost if James gets his loan from the PayDay Loan store and pays it back in 12 weeks (nearly 90 days)?

*******round all answers to nearest dollar please