You can pay $100 per month, starting next month, for the next 5 years to have a lawn mowing service. Alternatively, you can purchase a riding lawn mower and pay $1,400 today and mow your own lawn for 5 years, starting next month. If you decide to mow your own lawn, how much do you save in PV terms if your investments earn 3% APR, compounded monthly?

a. $4,084

b.

$4,165

c.

$4,332

d.

$4,249