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Equal Payments Are to Be Made at the End of Each

Question 74

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Equal payments are to be made at the end of each month for 12 years with interest at 9.66% compounded monthly. After the last payment, the fund is to be invested for 4 years at 6.82% compounded quarterly and have a maturity value of $27 600.00. What is the size of the monthly payment?

Correct Answer:

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Balance after 15 years:
PV = 2...

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