You need a new car and the dealer has offered you a price of 16,000, with the following payment options: (i) pay cash and receive a 1,000 rebate, or (ii) pay a down payment of 4,000 and finance the rest with a 0% APR loan over 24 months (What is your monthly payment?). You have not yet finished your degree and are not earning any money. Therefore, over the next 2 years you plan to use credit cards to pay your expenses; luckily you have one with a low (fixed) rate of 12% APR, and you pay monthly interest. Which payment option is best for you?