You have decided to buy a car with price tag of $30,000 but you are able to negotiate the price down to $28,000. You have $1,000 saved, so you need to borrow $27,000 in a 5-year loan from your bank...

You have decided to buy a car with price tag of $30,000 but you are able to negotiate the price down to $28,000.  You have $1,000 saved, so you need to borrow $27,000 in a 5-year loan from your bank (your bank offers lower rates than the auto-dealer) at a 3% APR (annual rate).

How much will you owe to the bank after 2 years?