A $12-$month add$-$on interest loan has monthly payments of $$220$ and an interest rate of $5$ percent. How do you compute the amount borrowed?

Multiple choice question.

Amount borrowed $=(12$ $$220)/0\mathrm{.}05$

Amount borrowed $=12$ $$220$

Amount borrowed $=(12$ $$220)(1+0\mathrm{.}05)$

Amount borrowed $=(12$ $$220)/(1+0\mathrm{.}05)$