9. You are considering buying a used Lada VAZ-2105, a classic automobile manufactured in the former Soviet Union, for a price of $21,480. The dealer is offering 0% financing with equal monthly payments $358 for five years with no down payment. However, if you choose to purchase the car with cash, today, the price is $18,750.

a. Is the claim of 0% financing real? Why or why not?

b. If you feel the claim of 0% financing is false; what monthly interest rate is being charged? (Use the RATE function in Excel and enter the monthly payment as a negative amount.)