You want to buy a new car and are trying to decide how best to finance it. The car costs $20,000 and you would like to pay it back over 4 years making payments every two weeks. Your bank charges 13.1 percent compounded monthly for its car loans. The car lot you want to buy from charges a rate of 12.95 percent based on weekly compounding. Who should you borrow from? Why? How much do you have to pay every two weeks for either option? If the car lot sweetens the deal by offering to cover the first payment, how much does the car actually cost you TODAY.

*NO REFERENCE

*USE EXCEL TO SOLVE THIS QUESTION.

Thank you!