Solve the Problem $7.15 \%$ Option 2: a 15-Year Loan At $6.75 \%$

Multiple Choice

Solve the problem.
-You need a $140,204 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 $7.15 \%$
Option 2: a 15-year loan at $6.75 \%$

A) Option 1: $\$ 963.18$
Option 2: $\$ 1283.11$

B) Option 1: $\$ 932.99$
Option 2: $\$ 1203.06$

C) Option 1: $\$ 946.95$
Option 2: $\$ 1240.68$

D) Option 1: $\$ 967.64$
Option 2: $\$ 1296.91$