What is the present value of end-of-quarter payments of $2,800 for eight years? Use a discount rate of 5.2% compounded quarterly. (Round your final answer to 2 decimal places.)
Added by Shari S.
Step 1
First, we need to find the quarterly interest rate. Since the annual interest rate is 5.2% compounded quarterly, we can divide the annual interest rate by 4 to find the quarterly interest rate: $$ i = \frac{5.2\%}{4} = 1.3\% $$ Show more…
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