Rylee sells some land in Nevada. She will be paid a lump sum of $60,000 in 7 years. Until then, the buyer pays 8% interest, compounded quarterly.
(a) Find the amount of each quarterly interest payment.
(b) The buyer sets up a sinking fund so that enough money will be present to pay off the $60,000. The buyer wants to make semiannual payments into the sinking fund; the account pays 6% compounded semiannually. Find the amount of each payment into the fund.
(c) Prepare a table showing the amount in the sinking fund after each deposit.