Youre just god a job offer from a big investment bank in Chicago and are thinking of buying a new car. The lease is for 24 months. The financing information is as follows: The cost of purchasing the car is $20,000 Both lessee and buyers must also pay a destination charge of $200 There is a $250 acquisition fee paid by the lessee at the beginning of the lease. There is a $250 security deposit for the lessee at the beginning of the lease. o This fee is refunded at the end of the lease. The promised residual value at the end of 2 years is $10,000. o If the true value is less than this, you must pay the difference. o If the true value is greater than this, you do not receive anything. You estimate that the value of the car will be worth $9,000 at the end of the lease. The monthly lease payments are $450 a month for 24 months. You are considering 3 options: 1) Lease the car. 2) Buy the car and borrow $20,000 from a bank that charges an APR of 6% annually, compounded monthly (or 0.5% monthly) 3) Buy the car and borrow $20,000 from a bank that charges an APR of 5.5% annually, compounded monthly (or 5.5%/12 monthly), plus charges 1 point on the loan (i.e., they give you 19,800, but charge you for $20,000). a. Compute the monthly payment for Options 2 and 3. b. Compute the EAIR of each loan. c. Show the monthly amortization Table for Option 3. d. Compute the cost of the lease e. Based on your analysis above. What is the best option? What is the worst option? Explain why. f. Would your results above be sensitive to changes in the estimated residual value? Explain why or why not.