Calculate the rent of a decreasing annuity at 8% interest compounded quarterly with payments made every quarter-year for 7 years and present value $78,000.
The general Formula for a decreasing Annuity is: [tex]P = ( \frac{(1+i)^n -1}{i (1+i)^n}) R [/tex] For this example we have: P = 78,000 n = 7*4 = 28 i = 8%/4 = 2% = 0.02
After substituting you can find value for R, rent.
