A car is purchased on hire-purchase. The cash price is $25 000 and the terms are a deposit of 10% of the price, then the balance to be paid off over 60 equal monthly installments. Interest is charged at 12% p.a. What is the monthly installment?  Select.
A) $ 500 B) $ 504 C) $ 505 D) $ 560 E) $ 600

Rationale: "explanation : cash price = $ 25 000 deposit = 10 % ã — $ 25 000 = $ 2500 loan amount = $ 25000 â ˆ ’ $ 2500 number of payments = 60 = $ 22500 i = p * r * t / 100 i = 13500 total amount = 22500 + 13500 = $ 36000 regular payment = total amount / number of payments = 600 answer : e"
Answer: E