Suppose a machine costing $12,000 is to be replaced at the end of 7 years,at which time it will have a salvage value of $6000.In order to provide money at that time for a new machine costing $15,000,a sinking fund is set up into which equal payments are placed at the end of every quarter.If the fund earns 5.6% compounded quarterly,what should each payment be?

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The Answer of Suppose a machine costing $12,000 is to be replaced at the end of 7 years,at which time it will have a salvage value of $6000.In order to provide money at that time for a new machine costing $15,000,a sinking fund is set up into which equal payments are placed at the end of every quarter.If the fund earns 5.6% compounded quarterly,what should each payment be?

Suppose a Machine Costing $12,000 Is to Be Replaced at the End