You are considering buying a car $($sticker price of $$43,000)$ but need financing. The car dealership has offered you two loan options: Loan A requires a $$1,750$ downpayment with the remainder financed over $5$ years with monthly payments based on a contractual rate of interest of $4\mathrm{.}1\%$; Loan B requires no downpayment with the balance financed at zero percent over $4$ years with monthly payments. If you opt for Loan A you are eligible for an immediate $$3,000$ rebate on the car; no rebate is offered on the zero percent financing deal.

The market rate for the risks that you pose is $7\mathrm{.}1\%.$ The car has a market value of $$36,000.$

Assume you have chosen Loan A and would like to pay it off three years into the transaction. How much would you have to pay to retire the debt? $[$Don$$t round interim calculations$]$

Explain through Excel if possible.

Multiple Choice

$$15,756\mathrm{.}18$

$$16,244\mathrm{.}96$

$$17,465\mathrm{.}14$

$$23,882\mathrm{.}16$

None of the above