I. Hamilton wants to accumulate $ XXXXXXXXXXat the end of 4 years. It starts quarterly payments in a bank account which pays J4= 5% (annual interest rate with quarterly compounding). a) Find the size...

I. Hamilton wants to accumulate $170.000 at the end of 4 years. It starts quarterly payments in a bank account which pays J4= 5% (annual interest rate with quarterly compounding).

a) Find the size of quarterly payments.

b) If, after 2 years, bank switches the rate to J4= 8%, what would be the size of quarterly payments for last 2 years required to meet the ₺ 230.000 goal?