Sydney wishes to make an investment on a monthly basis starting next month for five years. The

Question:

Sydney wishes to make an investment on a monthly basis starting next month for five years. The payments into the fund would be made on the first day of each month. The interest rate will be 0.5 percent per month. Sydney needs a terminal value of £7000. What should be the monthly payments into the fund to the nearest £?
(a) £75
(b) £86
(c) £100
(d) £117