Determine amount of each equal semi-annual cash flow

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Add a cash flow diagram to it and a detailed solution and show the formula you used

A series of quarterly cash flows began with the first cash flow on April 1,1990 and ends with the last cash flow on January 1,2000. The first quarterly cash flow is equal to $24,000. Each successive cash flow increases $850. The series of quarterly cash flows is equivalent to a series of equal semi-annual cash flows. The equivalent series of equal semi-annual cash flows starts with the first cash flow occur­ring on July 1,1997. The last equal semi-annual cash flow in the equivalent series occurs on January 1, 2010. Use a nominal interest rate of 13% and continuous compounding. Determine the amount of each equal semi-annual cash flow in the equivalent series.

Reference no: EM131066538

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