The town of Gander issued debentures worth $420,000.00 maturing in 15 years to finance construction of recreational facilities. To redeem the debentures, the town council decided to make equal deposits into a sinking fund at the beginning of every three months. Interest earned by the sinking fund is 6.66% compounded quarterly.

a) What is the size of the quarterly payment into the sinking fund?

b) What is the balance in the fund after six years?