Payments of $2,000 due six months ago and $5,000 due three years from now, are to be replaced by two equal payments due now and one year from today. What is the amount of each payment if money is worth 12% compounded monthly? Use a focal date of today.
A) $3,118.98
B) $2,641.34
C) $2,976.33
D) $4,915.04
E) $3,211.14

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The Answer of Payments of $2,000 due six months ago and $5,000 due three years from now, are to be replaced by two equal payments due now and one year from today. What is the amount of each payment if money is worth 12% compounded monthly? Use a focal date of today.
A) $3,118.98
B) $2,641.34
C) $2,976.33
D) $4,915.04
E) $3,211.14

Payments of $2,000 Due Six Months Ago and $5,000 Due