"To pay off $61000000 worth of new construction bonds when they come due in 26 years, a water municipality must deposit money into a sinking fund. Payments to the fund will be made quarterly, starting three months from now. If the interest rate for the sinking fund is 7.4% compounded quarterly, how much will each deposit be?" (A) 186472.46 B 196981.91 336598.5 D 93492.77 (E) 96706.9

Algebra and Trigonometry (6th Edition)
6th Edition
ISBN:9780134463216
Author:Robert F. Blitzer
Publisher:Robert F. Blitzer
ChapterP: Prerequisites: Fundamental Concepts Of Algebra
Section: Chapter Questions
Problem 1MCCP: In Exercises 1-25, simplify the given expression or perform the indicated operation (and simplify,...
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"To pay off $61000000 worth of new construction bonds when they come due in 26 years, a water municipality must deposit money
into a sinking fund. Payments to the fund will be made quarterly, starting three months from now. If the interest rate for the sinking
fund is 7.4% compounded quarterly, how much will each deposit be?"
(A) 186472.46
B) 196981.91
© 336598.5
(D) 93492.77
(E) 96706.9
Transcribed Image Text:"To pay off $61000000 worth of new construction bonds when they come due in 26 years, a water municipality must deposit money into a sinking fund. Payments to the fund will be made quarterly, starting three months from now. If the interest rate for the sinking fund is 7.4% compounded quarterly, how much will each deposit be?" (A) 186472.46 B) 196981.91 © 336598.5 (D) 93492.77 (E) 96706.9
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