QUESTION 18 Sammy borrowed $100,000 from an investor. He paid the investor back as follows: Year 1: 535,000 Year 2: $15,000 Year 3: 547,000 Year 4: $10,000 The investor could have put the $100,000 in a savings account that paid 4% a year. Did the investor get a better rate of return foaning to Sammy or would the savings account have given him a better return? O A The loan is better because the PV of the loan is more than the PV of the savings account OB. The savings account is better because the FV of the savings account is more than $100,000 o The savings account is better, because the FV of the savings account is greater than the PV of his payments from the loan OD. The loan is better, because the FV of the loan payments is greater than the PV of the savings account