Use the formula for the present value of an ordinary annuity or the amortization formula to solve the following problem. PV = $15,000; i = 0.03; PMT = $550; n = ? n= |(Round up to the nearest integer.) American General offers a 16-year annuity with a guaranteed rate of 5.55% compounded annually. How much should you pay for one of these annuities if you want to receive payments of $1200 annually over the 16 year period? How much should a customer pay for this annuity? $1 (Round to the nearest cent.) A sailboat costs $19,790. You pay 5% down and amortize the rest with equal monthly payments over a 11-year period. If you must pay 7.8% compounded monthly, what is your monthly payment? How much interest will you pay? Monthly payments: $ (Round to two decimal places.) Interest: $ (Round to two decimal places.)