When Reliance launched its mobile services subscribers were given two financing schemes with the offer duration of three years for purchase of handset. Under the first financing option, the subscriber had to give an upfront payment of Rs 3,000 as one time club membership and pay Rs 600PM for three years, payable by 12 post dated quarterly cheque of Rs 1800 each. Under the second financing offer the subscriber had to give an all upfront payment of Rs. 21,000 for the entire three years, which was calculated as Rs 3,000+Rs 500 PM for 36 months. You are given the task of comparing both the offers. Compared to the second option, Reliance is offering you financing at what financing cost in the first option? Suppose you were working in a firm wherein your firm had decided to give one phone to all managers which offer would you prefer?

Note: Please use excel for computation and share the screenshot.