Question
Splish Corporation, having recently issued a $20,054,300,15-year bond issue, is committed to make annual sinking fund deposits of $616,500. The deposits are made on the
Splish Corporation, having recently issued a $20,054,300,15-year bond issue, is committed to make annual sinking fund deposits of $616,500. The deposits are made on the last day of each year and yield a return of10%.
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Will the fund at the end of15years be sufficient to retire the bonds?
Future value of an ordinary annuity$
Will funds be sufficient?
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Integrated Accounting For Windows
Authors: Dale A. Klooster, Warren Allen
6th Edition
0324664850, 9780324664850
