Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Nov 06, 2023

A Ltd has to retire 1000 million of debentures each at the end of 8,9 and 10 years from now. How much should the firm

A Ltd has to retire 1000 million of debentures each at the end of 8,9 and 10 years from now. How much should the firm deposit in a sinking fund account annually for 5 years, in order to retire the debenture ? The interest rate earned is 8 percent .

Why is Present value of annuity due used instead of ordinary annuity?

What's the wording that indicated the problem should be solved using that type of annuity?

Step by Step Solution

★★★★★

3.41 Rating (154 Votes )

There are 3 Steps involved in it

Step: 1

The sinking fund approach is used to accumulate a sum of money over a period to repay a debt when it ... blur-text-image

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

Recommended Textbook for

Personal Finance Turning Money into Wealth

Authors: Arthur J. Keown

8th edition

134730364, 978-0134730363

More Books

Students also viewed these Accounting questions

Question

★★★★★

Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...

Answered: 1 week ago

Question

★★★★★

Mercedes and Alejandro have lived in Toronto, Ontario for the last 25 years since immigrating to Canada from South America in 1993. Married in 1989, the couple both work outside the home and enjoy an...

Answered: 1 week ago

Question

★★★★★

1. Your lease calls for payments of $500 at the end of each month for the next 12 months. Now your landlord offers you a new 1-year lease that calls for zero rent for the first 3 months, then rental...

Answered: 1 week ago

Question

★★★★★

What is the "ALDI Way" and what was its quest? Take out costs; eliminate complexity Survival; make enough money to pay overhead costs Increase market share; find more prospective customers Build...

Answered: 1 week ago

Question

★★★★★

Locate the centroid of the volume generated by revolving the portion of the sine curve shown about the y axis. y=bsin

Answered: 1 week ago

Question

★★★★★

Present examples to show how a combination of demographic and behavioural segmentation variables can be applied in the sport market.

Answered: 1 week ago

Question

★★★★★

For a standard normal random variable z, find P(1.2 1. Name columns A and B of a spreadsheet as "20", and "P(z 2. Enter the location of first value of zo (cell A2) into the first box and the word...

Answered: 1 week ago

Question

★★★★★

Preparing a classified balance sheet Required Use the following information to prepare a classified balance sheet for Steller Co. at the end of 2012. Accounts receivable .... $42,500 Accounts payable...

Answered: 1 week ago

Question

★★★★★

Sort the values of the single input provided as a calling argument. Implement a bubble sort. Use looping and branching. Use the function to reshape the values into a 1 D array to be sorted. Return...

Answered: 1 week ago

Question

★★★★★

1. Why might a structured organizational assessment framework be a useful tool in identifying the issues in a situation like the one presented in the Whispering Pines case? (LO 1 and LO 5) 2. What...

Answered: 1 week ago

Question

★★★★★

Check Printing Fees Service Fees Outstanding Check # 1 2 0 3 check # 1 2 7 8 + i + . View on Tableau Public Determine the company's ( a ) bank balance and ( b ) book balance on Nove What is the...

Answered: 1 week ago

Question

★★★★★

Two Registered Nurses (RNs) are available to triage and enter any pre-existing medical conditions that must be noted for vaccination. The first RN is using a faster laptop and completes screening in...

Answered: 1 week ago

Question

★★★★★

Fresh Bites manufactures Caesar salads. In January, the company initially budgeted to purchase and use 20,000 kilograms of lettuce at $1.18 per kilogram, with a budgeted A output of 70,000 salads....

Answered: 1 week ago

Question

★★★★★

Basic exception handling is required. It's your responsibility to ensure that any thrown exceptions are handled gracefully and do not crash the program. Any program you write should be thoroughly...

Answered: 1 week ago

Question

★★★★★

Oil at 24 gpm and 1200 psi enters the low-pressure inlet of a 4:1 Racine pressure intensifier. Find the discharge flow rate and pressure. Problem 5 Oil at 155F and 2250 psi is flowing through a...

Answered: 1 week ago

Question

★★★★★

What causes noise: Environment and people; body language; language (generations, style, slang); Regional, National, International; gender; access to information (myopic); levels of experience; number...

Answered: 1 week ago

Question

★★★★★

On November 1, 2022, Shamrock had the following account balances. The company uses the perpetual inventory method. Cash Accounts Receivable Supplies Equipment Debit $19,800 4,928 1,892 55,000 $81,620...

Answered: 1 week ago

Question

★★★★★

ABC company leased new advanced computer equipment to STU Ltd on 1 January 2019.STULtd has to pay annual rental of $290,000 starting at 1 January 2019. It is a four years lease with ultimate rental...

Answered: 1 week ago

Question

★★★★★

Upon her grandmothers death, So-hyun received $100,000 to use for college expenses or for starting her family. The money is in a checking account for So-hyun to use as she chooses. How much tax does...

Answered: 1 week ago

Question

★★★★★

Considering the influence of finances on couple relationships, identify at least three smart financial strategies someone wanting to form a relationship and raise children should follow.

Answered: 1 week ago

Question

★★★★★

1. Identify seven sources of vehicle purchasing information and the type of information available from each source. 2. From all the information available, what specific information about the...

Answered: 1 week ago

Question

★★★★★

A researcher was interested in determining risk factors for high blood pressure (hypertension) among women. Data from a sample group of 680 women were collected. The following table gives the...

Answered: 1 week ago

Question

★★★★★

The following set of questions relates to using Poisson regression methods to analyze data from an in vitro study of human chromosome damage. In this study, using Poisson regression is appropriate...

Answered: 1 week ago

Question

★★★★★

A 2005 study was conducted to evaluate the influence of fear avoidance beliefs (FAB), chronicity of low back pain (CHR), and severity of low back pain (SEV) on disability (DIS) in 209 patients from...

Answered: 1 week ago

Previous Question Next Question