sinking fund payment. A company establishes a sinking fund to provide for the payment of a...
sinking fund payment. A company establishes a sinking fund to provide for the payment of a $100,000 debt maturing in 4 years. Find the amount of each annual deposit if interests 3% annum.
Homework Answers
This question requires application of FV of annuity formula, according to which
100,000 = P * 4.183627
P = $23,902.70
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