These are the correct answers as provided by wiley plus. I have tried everything

Question

These are the correct answers as provided by wiley plus. I have tried everything and cannot figure out how to calculate the New Quarterly Payments. If you could provide the reasoning and steps behind the answer provided I would be grateful. Thanks!

On January 1, 2014, a customer purchased a new $36,080 automobile, making a downpayment of $1,040 The customer signed a note indicating that the annual rate of interest would be 12% and that quarterly payments would be made over 3 years. For the first year, Good-Deal required a $438 quarterly payment to be made on April 1, July 1, October 1, and January 1, 2015. After this one-year period, the customer was required to make regular quarterly payments that would pay off the loan as of January 1, 2017 Prepare a note amortization schedule for the first year Date Cash Paid Interest Ex Discount Amortized Carrying Amount of Note 1/1/2014 4/1/2014$ 7/1/2014 438$ 438 $ 438$ 438 $ 1,051 $ 1,070 $ 1,089 1,108 $ 613 $ 632 $ 651 $ 670 $ 35,040 35,653 36,285 36,936 37,606 10/1/2014 1/1/2015 $ The Customer owes on the contract the end of the first year $37,606 New Quarterly Payments: $5,357 1/1/2015 4/1/2015 $ 7/1/2015$ 5,357$ 5,357 $ 5,357 5,357 $ 5,357 5,357 $ 5,357 5,357 4,229.00 $ 4,356.00 4,486.00 4,621.00 4,760.00 4,902.00 5,049.00 $ 5,203.00 37,606.00 33,377.00 29,021.00 24,535.00 19,914.00 15,154.00 10,252.00 5,203.00 1,128.00 $ 1,001.00 10/1/2015 1/1/2016 4/1/2016 7/1/2016 871.00 $ 736.00 597.00 $ 455.00 308.00 154.00 10/1/2016 1/1/2017

Explanation / Answer

Answer: In case of Quarterly payment:

Rate of interest=12%/4=3%

Remaining years=2*4=8 years

New Quarterly Payment=37606/PVIFA(3%,8)

=37606/7.0197=$5357

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