Question

Please help!!!

How much should Sara deposit twice a year at 10% compounded semi-annually for 3
1/2 years to have a $15,000 down payment for her own restaurant?

Answer 1

Answer:

X=2205.26

Step-by-step explanation:

Let i=$\frac{10}{2}=5%$%

n=3*2=6

FV=$15,000

Let X be semi-annual payments.

Therefore:-

=$X(\frac{1.05^6-1}{0.05})=15000\\6.8019=15000\\x=2205.26$