Homework Answers
Present value of annuity= payment per period * [1-(1+i)^-n]/i + PV of terminal value
i = interest rate per period
n = number of periods
=>
payment per period * [1-(1+0.06/2)^-50]/(0.06/2) + 19525/(1+0.06/2)^50 = 200000
=>
payment per period = 7600.00
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