Solve the Problem $8 \%$ Option 2: a 15-Year Loan at 7

Multiple Choice

Solve the problem.
-You need a $87,168 loan. Compute the monthly payment for each of the loan options listed below. Assume that the loans are fixed rate. Option 1: a 30 year-loan at an APR of $8 \%$
Option 2: a 15-year loan at 7.5\%

A) Option 1: $\$ 639.61$
Option 2: $\$ 808.06$

B) Option 1: $\$ 651.46$
Option 2: $\$ 842.40$

C) Option 1: $\$ 648.89$
Option 2: $\$ 833.97$

D) Option 1: $\$ 631.70$

Option 2: \$785.14