Fully amortized loan(annual payments for principal and interest with the same amount eachyear). - Chuck Ponzi has talked an elderly woman into loaning him $15,000

for a new business venture. Shehas, however, successfully passed a finance class and requires Chuck to sign a binding contract on repayment of the $15,000

with an annual interest rate of 6%

over the next 5

years. Determine the cash flow to the woman under a fully amortized loan, in which Ponzi will make equal annual payments at the end of each year so that the final payment will completely retire the original $15,000

loan.

What is the amount of payment that the woman will receive at the end of years 1 through 5?