Use the standard formula:
P=R(1-(1+i)^(-n))/i
where
P=present value
R=payment per period ($1500/three months)
i=interest per period = 0.045/4=0.01125
n=number of periods = 4*5=20
Determine the present value of the annuity:
$1500 at the end of each 3-month period, for 5 years, at 4.5% p/a, compounded quarterly
2 answers
$26,730