Your Prospective Client Plans to Purchase an Automobile with a Total

Multiple Choice

Your prospective client plans to purchase an automobile with a total "drive-out" cost of $32,000.The down payment will be $5,000.The balance of the purchase price will be financed at an annual interest rate of 3.5 percent for a period of five years.What will be the annual payments to the lender?

A) -4,978.50.
B) 4,978.50.
C) -5,979.99.
D) 5,979.99.