You plan to take out a 30-year fixed rate mortgage for $225.000. Let P(r) be your monthly payment if the interest rate is r% per year, compounded monthly. Interpret the equations (a) P(4) 1074.18 and (b) P(4) 129.72.

(a) Interpret P(4) 1074.18. Select the correct answer below.

A. If the interest rate on the mortgage is 4%, the monthly payment will be $129.72.

B. If the interest rate on the mortgage is 4%, the monthly payment will be $1074.18.

C. If the interest rate on the mortgage is 5%, the monthly payment will be $1074.18.

D. If the interest rate on the mortgage is 5%, the monthly payment will be $129.72.

(b) Interpret P(4) 129.72. Select the correct answer below.

A. If the interest rate increases from 4% to 5%, the monthly payment will increase by approximately $129.72.

B. If the interest rate decreases from 5% to 4%, the monthly payment will be approximately $1074.18.

C. If the interest rate decreases from 5% to 4%, the monthly payment will increase by approximately $1074.18.

D. If the interest rate increases from 4% to 5%, the monthly payment will decrease by approximately $129.72.