Sequence and Series - Simple Interest

A café purchases a new commercial coffee machine and kitchen equipment for \(\$47\,800\). The owner pays \(\$7500\) immediately and borrows the remaining amount.

The lender charges \(3.4\%\) simple interest per annum. The loan is repaid by quarterly instalments, with a rounding adjustment to the final payment over \(3.5\) years.

1. Find the usual quarterly instalment, giving your answer to the nearest cent.

   [3]

2. The owner makes this payment for the first 13 quarters. Calculate the amount of the final instalment.

   [2]