Margaretpurchased a house for $295000. After providing a25% down payment, she borrowed the balance from the local savings and loan under a25-year5% mortgage loan requiring equal monthly installments at the end of each month. Which time value concept would be used to determine the monthly payment?

a)Future value of an ordinary annuity.

b)Present value of an ordinary annuity.

c)Future value of one.

d)Present value of one.