Answer:
D. reducing the loan term and increasing the down payment
Explanation:
Sabrina's loan balance should be lowered in order to have a lower interest. Therefore, she should "increase her down payment." An increase in down payment means a smaller loan balance.
In addition to this, she should also reduce the loan term because extending the term will most likely lead to an increase overall interest. Although the monthly payment is smaller than a shorter loan term, the overall amount Sabrina will pay is actually bigger.