An Appliance Store Sells a TV for $1,200 and Gives

Multiple Choice

An appliance store sells a TV for $1,200 and gives their customers a full three years to pay for the TV. If interest rates are 5 percent, what is the equivalent sales price of the TV when the customer takes the full 3 years to pay for it?

A) $991.72
B) $1,036.61
C) $1,104.14
D) $1,389.15