Answer
$\$ 2390.27$
Work Step by Step
The amount $A_{f}$ of an annuity consisting of
$n$ regular equal payments of size $R$
with interest rate $i$ per time period
is given by $\displaystyle \quad A_{f}=R\frac{(1+i)^{n}-1}{i}$
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To solve for R, multiply both sides with $\displaystyle \frac{i}{(1+i)^{n}-1}.$
$R=\displaystyle \frac{iA_{f}}{(1+i)^{n}-1}$
Given
$A_{f}=10,000$
(quarterly= 4 times a year)
$i=\displaystyle \frac{0.12}{4}-0.03$
$n=4$,
$R =\displaystyle \frac{10,000\cdot 0.03}{(1.03)^{4}-1}=\$ 2390.27$
