Two payments of $850 and $600 must be made two years and five years from now respectively. If money can earn 4% compounded semi-annually, what single payment, three years from now, would be equivalent to the two scheduled payments?
A) $1,477.16
B) $1,609.22
C) $15,783.88
D) $1,404.19
E) $1,438.65

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The Answer of Two payments of $850 and $600 must be made two years and five years from now respectively. If money can earn 4% compounded semi-annually, what single payment, three years from now, would be equivalent to the two scheduled payments?
A) $1,477.16
B) $1,609.22
C) $15,783.88
D) $1,404.19
E) $1,438.65

Two Payments of $850 and $600 Must Be Made Two