Answer:
[tex] $4.3643340396×10^{-14}[/tex]
Step-by-step explanation:
Formula of sinking fund = [tex]P=\frac{A}{(1+\frac{r}{n})^{nt}-1}[/tex]
A = Accumulated amount = $42,000
t = time = 77 year
Since we are given that fund earning 55% compounded monthly to
n = no. of compounds = 12
Substitute the values in the formula :
[tex]P=\frac{42000 }{(1+\frac{55}{1200})^{77 \times 12}-1}[/tex]
[tex]P=\frac{42000 }{(1+\frac{55}{1200})^{924}-1}[/tex]
[tex]P=4.3643340396×10^{-14}[/tex]
Hence The payment size is[tex] $4.3643340396×10^{-14}[/tex]
