A rich man put up a trust fund in the bank to give his son the earnings of P 400, 000 at the end of every four years and to continue until the 20th year. What is the amount of money placed in the trust fund if guaranteed interest is 16% per year? Use a Cash flow diagram. Discuss the concept of Trust Fund

A rich man put up a trust fund in the bank to give his son the earnings of P 400, 000 at the end of every four years and to continue until the 20th year. What is the amount of money placed in the trust fund if guaranteed interest is 16% per year? Use a Cash flow diagram. Discuss the concept of Trust Fund

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 12EB: Your friend has a trust fund that will pay her the following amounts at the given interest rate for...

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