Ardent will be investing $5 000.00 at the beginning of every 3 month for 15 years earning 5.65% compounded monthly. At the end of the 15-years term he will buy an annuity that will make end-of-the-month payments for 10 years. What will be the value of the payments if the annuity pays 7.5% compounded monthly?

Marks (15) 7. Ardent will be investing $5 000.00 at the beginning of every 3 mon for 15 a carning 5.65% compounded monthly. At the end of the 15-a term he will buy an annuity that will make end-of-the-month payments for 10 a. What will be the value of the payments if the annuity pays 7.5% compounded monthly