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Question 5 (6 points) A company is buying a $10,000 piece of equipment. They want to make an equal payment at the end of every

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Question 5 (6 points) A company is buying a $10,000 piece of equipment. They want to make an equal payment at the end of every six months over 4 years. The annual market rate of interest is 5%. Present Value (PV) and Present Value of an Ordinary Annuity (PVOA) and FVOA factors from a table are given below. PV of 1 at 5%: 4 periods: .82270 PV of 1 at 2.5% ; 8 periods: .82075 PVOA at 5% : 4 periods: 3.54595 PVOA at 2.5% ; 8 periods: 7.17014 FVOA of 1 at 5% and 4 periods: 4.31013 FVOA of 1 at 5%: 8 periods: 9.54911 FVOA of 1 at 2.5%: 4 periods: 4.15252 FVOA of 1 at 2.5% : 8 periods: 8.73612 A. Compute the size of their payment. Show work rounding payment to nearest whole dollar. B. How much total interest will they wind up paying over the four year time frame Show work

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