You Received a $5,000 Loan at the End of Each

Multiple Choice

You received a $5,000 loan at the end of each of your four years of college.Aunt Rose agreed to pay off your loans at the end of your fourth year of school.How much will she have to pay? Assume a 4% interest rate compounded annually on student loans. Use appendix Table 1, Table 2, Table 3 and Table 4.

A) $20,000.
B) $21,235.
C) $39,930.
D) $50,000.
E) None of the answers is correct.