Question
1) Bramble Company recently signed a lease for a new office building, for a lease period of 10 years. Under the lease agreement, a security
1) Bramble Company recently signed a lease for a new office building, for a lease period of 10 years. Under the lease agreement, a security deposit of $13,540 is made, with the deposit to be returned at the expiration of the lease, with interest compounded at 5% per year. -What amount will the company receive at the time the lease expires? (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 458,581.)
2) Sunland Corporation, having recently issued a $20,110,400, 15-year bond issue, is committed to make annual sinking fund deposits of $612,200. The deposits are made on the last day of each year and yield a return of 10%.
-Will the fund at the end of 15 years be sufficient to retire the bonds?
3) Sunland Corporation, having recently issued a $20,110,400, 15-year bond issue, is committed to make annual sinking fund deposits of $612,200. The deposits are made on the last day of each year and yield a return of 10%.
-Determine the amount of deficiency. (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 458,581.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started