Future value= C × [ ((1+i)Ʌn-1) / i ]
= 675 × [ ((1+0.035)Ʌ16 -1) /0.07]
=675 × [(1.733986-1)/0.07]
=$ 7,077.72
(C)Cash flow= $675
(i)interst rate= 7%/2 = 3.5%
(n)no. of payments =2*8 = 16
* as the payment are semi-annually, the interest to be taken half and no of payments will be double
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