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Anderson Manufacturing​ Co., a small fabricator of​ plastics, needs to purchase an extrusion molding machine for...

Anderson Manufacturing​ Co., a small fabricator of​ plastics, needs to purchase an extrusion molding machine for

​$120,000. Kersey will borrow money from a bank at an interest rate of 9​% over five years. Anderson expects its product sales to be slow during the first​ year, but to increase subsequently at an annual rate of 11​%. Anderson therefore arranges with the bank to pay off the loan on a​ "balloon scale," which results in the lowest payment at the end of the first year and each subsequent payment being just 11​% over the previous one. Determine the five annual payments.

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