Question
Bates Company issued $2,300,000,15-year bonds. It agreed to make annual deposits of $78,500to a fund (called a sinking fund), which will be used to pay
Bates Company issued $2,300,000,15-year bonds. It agreed to make annual deposits of $78,500to a fund (called a sinking fund), which will be used to pay off the principal amount of the bond at the end of15years. The deposits are made at the end of each year into an account paying9% annual interest.
What amount will be in the sinking fund at the end of15years?
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Accounting A Pathway Into The World Of Business And Data Analytics
Authors: Carl S. Warren, Jefferson P. Jones, William Tayler
29th Edition
0357899644, 9780357899649
