Suppose Payments Were Made at the End of Each Quarter

question 176

Short Answer

Suppose payments were made at the end of each quarter into an ordinary annuity earning interest at the rate of 8%/year compounded quarterly. If the future value of the annuity after 7 years is $70,000, what was the size of each payment? Round your answer to the nearest cent.
R = $__________

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Definitions:

Major External Factors

Key influences originating outside of an organization that can significantly impact its performance and strategy, such as economic, social, technological, and political conditions.

Direct Competition

Two or more businesses offering products or services that directly compete against each other.

Currency Fluctuation

Refers to the variations in the value of one currency relative to another, which can impact international trade and investments.

Substitute Products

Goods and services that perform very similar functions and can be used in place of one another.