Down Payment	APR	PV of Car Financing at Credit Card APR
Option 1	$2,500.00	18.00%	$62,780.00
Option 2		18.00%	$61,232.00
Option 3		18.00%	$67,080.00

1. Zero percent financing. Make a $2,500 down payment from his savings and finance the remainder with a 0% APR loan for 48 months. Adam has more than enough cash for the down payment, thanks to generous graduation gifts.
2. Rebate with no money down. Receive a $3,400 rebate from the car dealer and finance the rest with a standard 48-month loan, with an 5% APR. He likes this option, as he could think of many other uses for the $2,500 of his saving.
3. Pay cash. Get the $3,400 rebate and pay the rest with cash. While Adam doesnt have $39,000, he wants to evaluate this option. His parents always paid cash when they bought a family car; Adam wonders if this really was a good idea.

Adam's car purchase	Car cost	$39,000
	Loan Term in months	48
	Option 1 Down Payment	$2,500
	Option 2 Rebate	$3,400
	Option 2 Loan rate	5%
	Deposit Interest Rates as Given in Text (pg 222-223)

Please show formulas for correct amount.