Julie Choi and Michael Wang are getting married. They do not have money to buy furniture for their condo at Lawrence and Yonge. NoGoodBoy Furniture offers the following choices: 1. Pay $6000 cash now for $7000 retail value of the furniture. No credit cards allowed. 2. Pay no money down except for $50 for credit check and no payments for one year. After that pay $7000 over two years in monthly installments of $350. Since Julie and Michael have no cash, they have to borrow $6000 for the first choice. Since they have no credit history, they have no choice but to borrow from Joe the Moneyman. Joe will lend them $6000 for 3 years at an annual interest rate of 12% compounded monthly. Only interest will be payable monthly, principal of $6000 will be paid at the end of 3 years. Which one is the better choice?