Your friend Zoe is planning to buy an outdoor patio set from a furniture store. The MSRP (the marked price) is $12000 and the seller offers a zero-interest financing plan which allows buyers to pay...

F3

Extracted text: Your friend Zoe is planning to buy an outdoor patio set from a furniture store. The MSRP (the marked price) is $12000 and the seller offers a zero-interest financing plan which allows buyers to pay $500 per month over 24 months, starting one month from now. However, the seller also tells Zoe that if she pays the price in full right now, she could get a 10% discount off the marked price. Which of the following statements is correct about the interest rate implied in these two options? Please use at least two decimal places. O a. The implied monthly interest rate is 0.83% O b. The implied monthly interest rate is 5% O c. The implied monthly interest rate is 0.42% O d. The implied monthly interest rate is 0% e. The implied monthly interest rate is 0.86%