Steve Fowler borrowed $94,020 on March 1, 2015. This amount plus accrued interest at 10%...
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Steve Fowler borrowed $94,020 on March 1, 2015. This amount plus accrued interest at 10% compounded semiannually is to be repaid March 1, 2025. To retire this debt, Steve plans to contribute to a debt retirement fund five equal amounts starting on March 1, 2020, and for the next 4 years. The fund is expected to earn 9% per annum. How much must be contributed each year by Steve Fowler to provide a fund sufficient to retire the debt on March 1, 2025?
please provide solution with explenation.
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