Zippy Furniture Sales: 14 months with no payments or interest. If the full amount is not paid by the end of that time, interest must be paid from the date of purchase at 24% annual rate. Zappy Home Interiors: All merchandise in sale for 20% off, cash must be paid at the time of purchase.

Although you have the cash to make the purchase, you were hoping to invest that cash in the stock market and earn a 12% annual return. Which alternative would you choose? Why?