How much will the landowners receive quarter

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1.Steven has invested $16041.64 into an account which pays interest compounded monthly. He makes no withdrawals but, at the end of the first month after interest is credited to the account, he sees that the balance is $16111.73. What annual effective rate of interest is the account paying?

(Give your answer as a decimal correct to four places, not a percentage.)

2.A company needs to set up a trust fund that will make payments (at the beginning of each quarter for the next fifteen years) to the native landowners of a mining site in a developing country. If it deposits $1615114 into the trust fund and the fund earns interest of 7.0% p.a.compounded quarterly, how much will the landowners receive each quarter?

(Give your answer to the nearest cent, omitting the dollar sign)

Reference no: EM132861890

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