Question 1076875
The typical annuity payment formula is thus: P= r(PV)/1-(1+r)^-n, where P=payment, PV=present value, r= interest rate per period, and n= total number of periods. Solving for present value, we get:
P[(1-(1+r)^-n)/r]=PV
So:
1500[1-(1+.04)^-4/.04]=PV
PV=5445 is your present value. &#9786;&#9786;&#9786;&#9786;