Question
A couple estimates that they will need to buy a new car in 4 years. They estimate that the car will cost $20,000. They decide
A couple estimates that they will need to buy a new car in 4 years. They estimate that the car will cost $20,000. They decide to set up a sinking fund by making equal monthly payments into an account paying an annual rate of 5.5% compounded monthly. What is the amount of each payment?
| a. | $321.99 | |
| b. | $340.85 | |
| c. | $365.25 | |
| d. | $373.46 |
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Financial Reporting And Statement Analysis A Strategic Perspective
Authors: Clyde P. Stickney, Paul Brown
4th Edition
0030238110, 978-0030238116
