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3) A company issued on 1/1/2007 100,000 at $20 a redeemable preferences shares and can be redeem on 1/1/2017 at redemption price will be $25,
3) A company issued on 1/1/2007 100,000 at $20 a redeemable preferences shares and can be redeem on 1/1/2017 at redemption price will be $25, to accumulated the amount need the company has two plan: A) Deposit an amount at each of the periods for a local bank at 8% accumulated semiannually. B) Deposit 125000 at beginning of each year for 10% which will be not sufficient and need more a single amount will deposit in the middle of the period at 9%. Required: which alternative should the company chooses? 3) A company issued on 1/1/2007 100,000 at $20 a redeemable preferences shares and can be redeem on 1/1/2017 at redemption price will be $25, to accumulated the amount need the company has two plan: A) Deposit an amount at each of the periods for a local bank at 8% accumulated semiannually. B) Deposit 125000 at beginning of each year for 10% which will be not sufficient and need more a single amount will deposit in the middle of the period at 9%. Required: which alternative should the company chooses
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