You would like to purchase a $50,000 vehicle but will not have access to the cash to pay for the vehicle for 3-months. The auto dealer is willing to let you drive the vehicle off of the lot today for a forward price based upon the risk-free rate of 5%. What price is the dealer willing to let you pay for the vehicle in cash 3-months from today while letting you begin using the vehicle today? Use continuous compounding.

Group of answer choices

$49,378.89

$50,000.00

$50,628.92

$52,563.55