Which is preferable, a loan with a lower present value or a loan with a lower periodic installment? Why?
What would be preferable, to retire a loan towards the end of its term or much before it? Explain your answer.
If a loan has a pre-payment penalty attached to it, would it still be viable to retire it? Why or why not?
Is it better to retire all loans much before their term? Explain your answer.
How much importance should be given to the fact that while the gains from the retirement of a loan can be estimated with certainty, the returns from an investment always carry a risk attached to them?