Samantha Enters a Rent-To-Own Agreement for Living Room Furniture B)

Multiple Choice

Samantha enters a rent-to-own agreement for living room furniture. She will pay $60 per month
for one year. Which of the following shows the timeline for her payments if the first payment is one
month from now?

A) $$\begin{array} { | l | l | l | l | l | l | l | l | l | l | l | l | l | l | } \hline \begin{array} { l } \text { Date } \\\text { (Months) }\end{array} & 0 & 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 & 9 & 10 & 11 & 12 \\\hline \text { Cash } & - \$ 60 & - \$ 12 & - \$ 18 & - \$ 24 & - \$ 30 & - \$ 36 & - \$ 48 & - \$ 54 & - \$ 60 & - \$ 66 & - \$ 72 & - \$ 78 & - \$ 84 \\\text { Flows } & & 0 & 0 & 0 & 0 & 0 & 0 & 0 & 0 & 0 & 0 & 0 & 0 \\\hline\end{array}$$
B) $$\begin{array} { | l | l | l | l | l | l | l | l | l | l | l | l | l | l | } \hline \begin{array} { l } \text { Date } \\\text { (Months) }\end{array} & 0 & 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 & 9 & 10 & 11 & 12 \\\hline \begin{array} { l } \text { Cash } \\\text { Flows }\end{array} & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 \\\hline\end{array}$$
C) $$\begin{array} { | l | l | l | l | l | l | l | l | l | l | l | l | l | } \hline \begin{array} { l } \text { Date } \\\text { (Months) }\end{array} & 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 & 9 & 10 & 11 & 12 \\\hline \begin{array} { l } \text { Cash } \\\text { Flows }\end{array} & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 \\\hline\end{array}$$
D) $$\begin{array} { | l | l | l | l | l | l | l | l | l | l | l | l | l | l | } \hline \begin{array} { l } \text { Date } \\\text { (Months) }\end{array} & 0 & 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 & 9 & 10 & 11 & 12 \\\hline \begin{array} { l } \text { Cash } \\\text { Flows }\end{array} & 0 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 & - \$ 60 \\\hline\end{array}$$