A bank account is remunerated at an APR of 15% with quarterly capitalization of interest. Romuald  wishes to make 30 monthly payments (of the same amount) at the end of the month so as to accumulate  $20,000 immediately after the last payment.
a)  Represent the payments on a schedule. What type of flow is this?
b)  Calculate the amount of Romuald’s payments.

Answer rating: 100% (QA)

Calculation of monthly payment The following formula can be used to calculate the mo... View the full answer