You are chairperson of the investment fund for the Continental Soccer League. You are asked to set up a fund of semiannual payments to be compounded semiannually to accumulate a sum of $240,000 after eight years at a 8 percent annual rate (16 payments). The first payment into the fund is to take place six months from today, and the last payment is to take place at the end of the eighth year. UseAppendix AandAppendix Cfor an approximate answer, but calculate your final answer using the formula andfinancial calculator methods.

a.Determine how much the semiannual payment should be

b.Determine how much the revised semiannual payments should be after this rate change (there are 10 payments and compounding dates). The next payment will be in the middle of the fourth year.