Sami wants to purchase a car and he needs to borrow $60,000 to be paid off in equal annual payments over 10 years period. The interest rate is 12% compounded monthly. The expected annual inflation rate is 5% for the following 20 years. What is the constant dollar value of the payment at end of year 4. 

A) 13,270.19 

B) 8,981.79  

C) 10,917.42  

D) 7,131.28

Answer rating: 100% (QA)

ANSWER CORRECT OPTIONB 898179 Amount 60000 Interest rate 12 c... View the full answer