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If your answer is right, I will give thumb up. Please do not use hand writing. Please give explanation including formulas. Thank you. Sandhill Co.
If your answer is right, I will give thumb up. Please do not use hand writing. Please give explanation including formulas. Thank you.
Sandhill Co. issued $1,080,000, 9-year bonds. It agreed to make annual deposits of $86,000 to a fund (called a sinking fund), which will be used to pay off the principal amount of the bond at the end of 9 years. The deposits are made at the end of each year into an account paying 8% annual interest. Click here to view the factor table. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) What amount will be in the sinking fund at the end of 9 years? (Round answer to 2 decimal places, e.g. 25.75.) Amount in the sinking fund $ 1073929.97 Pharoah Company is about to issue $430,000 of 7-year bonds paying an 12% interest rate, with interest payable annually. The discount rate for such securities is 13%. Click here to view the factor table. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) In this case, how much can Pharoah expect to receive from the sale of these bonds? (Round answer to O decimal places, e.g. 2,575.) Pharoah can expect to receive $Step by Step Solution
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