You have a loan outstanding. It requires making three annual payments of $1,000 each at the end of the next three years.

[answerhappygod]

You have a loan outstanding. It requires making three annual
payments of $1,000 each at the end of the next three years. Your
bank has offered to allow you to skip making the next two payments
in lieu of 7 making one large payment at the end of the loan's term
in three years. If the interest rate on the loan is 5%, what final
payment will the bank require you to make so that it is indifferent
to the two forms of payment?
A. $3,152
B. $3,221
C. $3,372
D. $3,492