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You have decided to purchase a specific model of a specific car

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You have decided to purchase a specific model of a specific car. The cost of the car is  Rs. 3,53,000, and charges for registration & tax, insurance, and number plates are additional. The on-road price is cost of the car plus these additional charges. You pay the on-road price.  You have also decided to take a loan of Rs. 200,000 to purchase the car. You have contacted four dealers in Delhi to find out the prices, loan availability, etc. You have found that some dealers provide discounts, while some pay for the insurance  (of the first year) on your behalf. You have also found that some banks have a tie-up with the dealers, and if the loan is taken from that particular bank, you get bank's discount. You have also found that dealers normally quote the EMI per lakh in case loan is taken from  the Dealers (for which they have tie up with banks). Even in case of directly negotiated loan with banks, the banks quote EMI per lakh. Your findings are summarized below. (Amount in Rs.)   Scheme-1 Scheme-2 Scheme-3 Scheme-4           Cost of Car:      353,000      353,000      353,000      353,000 Registration:          7,500          7,500          7,500          7,500 Insurance:        12,000              -                -          12,000 Number Plate:            975            975            975            975 Dealer's Discount:          (10,000) Bank Discount:        (5,000)               On-Road Price:      368,475      361,475      361,475      363,475         Loan:      200,000      200,000      200,000      200,000         Downpayment:      168,475      161,475      161,475      163,475         n (months) 60 60 72 60         EMI per lakh     2,058.83     2,112.00     1,853.90     2,130.00 Compare the four alternatives, and find out the best scheme, in terms of present discounted value.