Suppose that you have a goal of saving $32,000 for your wed- ding, which is scheduled on 30/11/2024. You start the first monthly deposit in June 2023 and earning the first interest in July 2023. In other words, you have 18 payments until you reach your savings target. The interest rate is j12 = 8% p.a.

(a) Determine the regular deposit required per month?

(b) Suppose that, after ten (10) deposits, e.g. from April 2024 onwards, the interest rate falls to j12 = 5%. Determine the new deposit size required to meet the original target of $32,000.

(c) Construct the full sinking fund that shows the deposit, interest, increase in sinking fund and balance over 18 months.

using formula FV = R [(1 + i)^n -1/ i ]