10. A furniture company allows customers to purchase household furnishings with an in-store loan, pay with cash or a credit card, or Rent-To-Own with a lease agreement. A customer chooses furniture worth $3,225.00 including tax and chooses to Rent-To-Own.
Rent to Own Furniture Warehouse
• No down payment is required.
• The monthly lease payment is $156.99 for 2 years.

a. Calculate the total cost to own the furniture using the Rent-To-Own option.

b. What the amount of the finance charge on this purchase?

c. What simple interest percentage rate is this finance charge? Recall: = rt