On january $1$st$,2025$ Sandra Clark signed an agreement $,$covering $5$ years to operate as a franchise of oriole inc for an inital franchise fee of $$57,000.$ The amount of $$8,000$ was paid when the agreement was signed, and the balance is payable in five annual payments of $$9,800$ each beginnning january $1,2026.$ The agreement provides that the down payment is nonrefundable and that no future services are required for the franchisor once the franchise commences operations on April $1,2025.$ Sandra Clarks credit rating indicates that she can borrow money at $10\%$ for a loan of this type