In the 21st century, the city of Ashkelon is an Israeli resort community. The city government is concerned with its security. Many centuries ago, the Egyptian sultan Saladin pulled down the last of Ashkelon's defensive walls. Perhaps raising new walls would increase its security. This would be a public works project, so it would be best to spread payments over time. The total purchase price is 65 million dollars (U.S.). The city can get a loan for this amount from a bank, with an interest rate of 6%, with payments being made at the end of each year, over 22 years.
What is the minimum annual loan payment the city must pay to the bank? Assume that the first payment is made at the end of year 1, and the last payment is made at the end of year 22.