Asked by Darlene
Clearlake Optical has a $50,000 note that comes due in 6 years. The owners wish to create a sinking fund to pay this note. If the fund earns 3.5% compounded semiannually, how much must each semiannual deposit be? (Round your answer to the nearest cent.)
Answers
Answered by
mathhelper
Assuming the payments are at the end of each half-year ...
i = .035/2 = .0175
n = 12
pay = ?
pay( 1.0175^12 - 1)/.0175 = 50000
solve for 'pay'
i = .035/2 = .0175
n = 12
pay = ?
pay( 1.0175^12 - 1)/.0175 = 50000
solve for 'pay'
There are no AI answers yet. The ability to request AI answers is coming soon!
Submit Your Answer
We prioritize human answers over AI answers.
If you are human, and you can answer this question, please submit your answer.