Husky Corporation is looking to purchase a building costing $500,000 by agreeing to make payments every three months for the next five years. The first payment is due three months after the purchase date. Husky's incremental borrowing rate is 12%. Each of the payments is closest to:
A)$28,000.
B)$66,940.
C)$37,981.
D)$33,608.

Question

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The Answer of Husky Corporation is looking to purchase a building costing $500,000 by agreeing to make payments every three months for the next five years. The first payment is due three months after the purchase date. Husky's incremental borrowing rate is 12%. Each of the payments is closest to:
A)$28,000.
B)$66,940.
C)$37,981.
D)$33,608.

Husky Corporation Is Looking to Purchase a Building Costing $500,000