The village of Selkirk has borrowed $225,000 at 13% compounded semi-annually from the regional district to build an office complex. The loan agreement requires the payment of interest end of every year. In addition, the village is to make equal payments into a sinking fund so that the principal can be retired after 15 years. Interest earned by the fund is 11% compounded semi-annually.

REQUIRED:

1) What is the size of the semi-annual deposits into the sinking fund?