. Assume the following information for a car note:

Original loan amount = $16,000 Annual interest rate = 6.75% Term of loan = 36 months

For the first year, how much interest and principal was paid, and what is the balance due at the end of year one?

(show workout)

Group of answer choices

a. $4,550.83 of principal; $863.44 of interest; balance due $11,449.17

b. $5,040.24 of principal; $833.16 of interest; balance due $10,959.76

c. $5,236.43 of principal; $670.06 of interest; balance due $7,061.19

d. $5,040.24 of principal; $90.00 of interest; balance due $15,597.79

e. $4,978.70 of principal; $927.82 of interest; balance due $11,021.30