You can purchase a new condominium for $190,000 cash, or for $100,000 down and monthly payments of $1,800 for five years. The first payment would be due one month after the purchase date. If the
money you would use for a cash purchase can earn 5.75% compounded monthly during the next five years, which option should you choose and calculate the dollar difference in the two options.
O Cash purchase can save you $4,668.20
O Cash purchase can save you $3,668.20
O Cash purchase can save you $5,668.20
O Finance purchase can save you $3,668.20
O Finance purchase can save you $4,668.20