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Wilson Corporation wants to buy a delivery truck for its business. Dealership A has agreed to sell Wilson Corporation a delivery truck with the following

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Wilson Corporation wants to buy a delivery truck for its business. Dealership A has agreed to sell Wilson Corporation a delivery truck with the following terms: $22,000 down with 24 monthly payments due at the end of each month of $2,000 at 12% interest. Dealership B has agreed to sell Wilson Corporation the same delivery truck with the following terms $20,000 down with 6 annual payments due at the end of each year of $8,000 at 8% interest. Which dealership is offering Wilson Corporation a better deal and why? Dealership B's offer is better because the total payments under the plan are less than Dealership A's offer O Dealership B's offer is better because the down payment is less than Dealership A. O Dealership A's offer is better because the present value of the payments are less than Dealership B's offer. O Dealership B's offer is better because the annual payment is lower. Dealership B's offer is better because the present value of the payments are less than Dealership A's offer

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