Rae Company purchased a new vehicle by paying $11,800 cash on the purchase date and agreed to pay $4,800 every three months during the next five years. The first payment is due three months after the purchase date. Rae's incremental borrowing rate is 4%. The liability reported on the balance sheet as of the purchase date, after the initial $11,800 payment was made, is closest to: (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use appropriate factor(s) from the tables provided.)

a $98,419.

b $107,800.

c $96,000.

d $86,619.