ind the interest rate needed for the sinking fund to reach the required amount. Assume that the compounding period is the same as the payment period. ​ $26746 to be accumulated in ​6 years; quarterly payments of ​$925 The interest rate needed is approximately __ %

Q: What equal annual payment must be deposited into a sinking fund to accu- mulate $60,000 in 20 years…

A: Sinking Funds refers to an arrangement of annuity for a definite time period for the accumulation of…

Q: Find the periodic payments PMT necessary to accumulate the given amount in an annuity account.…

A: Formula for calculating the annuity payment required: Annuity = Future Value / future value annuity…

Q: Using the sinking fund Table 13.3, complete the following: (Do not round intermediate calculations.…

A: Solution: Required future value = $25,700 Nos of quarterly period = 5*4 = 20 Quarterly interest rate…

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A: An approach to determine how much money a stream of payments will be worth at some future date is to…

Q: Use the sinking fund formula to determine the payment needed to reach the accumulated amount. Round…

A: We need to calculate periodic/weekly payment by using sinking fund formula PMT =FVn1+rnn*t-1rn Where…

Q: "To pay off $66000000 worth of new construction bonds when they come due in 31 years, a water…

A: Future value required (FV) = $ 66000000 Interest rate = 6.7% Quarterly interest rate (r) = 6.7%/4 =…

Q: Find the amount of periodic payment necessary for the deposit to a sinking fund. (Round your answer…

A: Information Provided: Amount = $75,000 Frequency = Quarterly Rate = 1.4% Time = 5 years

Q: Find the amount of periodic payment necessary for the deposit to a sinking fund. (Round your answer…

A: Formula Periodic payment = A/[(1+r/n)n*t-1]/(r/n) Where A - Amount needed i.e. $90,000 r - Interest…

Q: What equal annual series of payments must bepaid into a sinking fund to accumulate the…

A: A fund that is created to repay a debt or replacement of an asset by putting an equal sum of amount…

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A: Given discount rate =7%

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A: Net present worth (NPW) is used to determine the present value of all future cash flows. Net present…

Q: "To pay off $58000000 worth of new construction bonds when they come due in 29 years, a water…

A: The time value of money is the idea that the value of money received today will be more worthy than…

Q: What monthly payment into a sinking fund at 8% compounded semi –annually will be needed to raise…

A: Sinking Fund is a fund that is kept aside or borrowed to pay off a debt or a loan. It helps the…

Q: 1 machine that was purchased for has an estim f 8 years and a trade-in value of €500. Find the annu…

A: In sinking fund depreciation method we calculate the annual depreciation using interest rate and…

Q: Solve manually using formulas. A fund earning 8% annual effective rate of interest is being…

A: Present Value of annuity-The amount of money needed to cover a series of future annuity payments…

Q: Use the sinking fund formula shown to the right to determine the monthly payment needed to…

A: Given Information: Required amount is $620,000 Interest rate is 8% Compounded monthly for 32 years

Q: Solve by using the sinking fund or amortization formula. (Round your answer to the nearest cent.)…

A: Note: It is a situation where multiple questions have been asked, so we are allowed to solve the…

Q: Find the amount of each payment to be made into a sinking fund which earns 8% compounded quarterly…

A: End of period payments N = 3.5 years i.e. 14 quarters Interest rate = 8%/4 = 2% per quarter Future…

Q: Save The Simpson Company invested $20000 in a fund that was earning interest at a rate of 5%…

A: Given data, Investment p = $20000 Rate of interest r = 5%= 0.05 compounded semi annually,  so, n=2…

Q: What is the nominal rate of interest compounded continuously for a period of 5 years of an equal…

A: Sinking fund factor = 0.180519 n = 5 years Let r = Nominal rate of interest

Q: Find the amount of periodic payment necessary for the deposit to a sinking fund. (Round your answer…

A: Periodic payments are payments made by an account holder to a plan each month or year over a period…

Q: I need help figuring out which table to use in this question. Either: compound value, present value,…

A: Hi, this is an example of simple interest. Hence no table can be used, as the interests are neither…

Q: Find the amount of periodic payment necessary for the deposit to a sinking fund. (Round your answer…

A: Step 1 A sinking fund is usually used to accumulate money to fund a future expense or a way to…

Q: Find the interest rate needed for the sinking fund to reach the required amount. Assume that the…

A: Borrowings are the liability that is used to finance the requirement of the funds. The borrower…

Q: For the sinking fund, use Table 12-1 to calculate the amount (in $) of the periodic payments needed…

A: The future value of the annuity refers to the sum value of all the payments which is occurred…

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Q: Use the sinking fund formula shown to the right to determine the semiannual payments with 6​%…

A: Present value is the sum of money that must be invested in order to achieve a specific future goal.…

Q: Compute the discounted payback statistic for Project C if the appropriate cost of capital is 8…

A: The question is based on the concept of Financial Management. Discounted payback period is the term…

Q: What equal annual series of payments must be paid into a sinking fund in order to accumulate each of…

A: The formula to compute annual equivalent worth of future payment: a) Hence, the equivalent annual…

Q: 2. If P500.00 is deposited in an account at the beginning of each year for 6 years at an annual…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Find the amount of each payment to be made into a sinking fund earning 5% compounded monthly to…

A: Future value = $ 54,000 Period = 6 years Number of monthly payments = 6*12 = 72 Annual interest rate…

Q: Calculate the capital recovery factor (in percent) given that the nominal rate for a…

A: N = 12 years or 96 semi quarters Nominal rate = 10.97℅ Number of compounding periods = 8

Q: Use the sinking fund formula shown to the right to determine the semiannual payments with 8%…

A: We need to use sinking fund formula to determine periodic payment . The formula is  PMT  =FVn1+rn…

Q: Using the sinking fund formula or a financial calculator, complete the following: (Do not round…

A: Amount required (FV) = $26,000 Quarterly period (n) = 20 (i.e. 5 years * 4) Quarterly interest rate…

Q: Find the interest rate needed for the sinking fund to reach the required amount. Assume that the…

A: Annuity refers to series of annual payment which is paid or received at start or ending of specific…

Q: A fund is built with annual payments increasing by $1 from $1 to $10 and then decreasing by $1 to…

A: The answer to this question is a Palindromic annuity The formula to be used for solving this is,

Q: Cross Ltd has bought an asset with a life span of 4 years. At the end of the 4 years, replacement of…

A: The sinking fund is the amount of money accumulated by the company to pay off a debt or any bond. A…

Q: What sinking fund payment would you need at the end of each three months at 12% interest compounded…

A: Information Provided: Interest = 12% compounded quarterly Amount = $3500 Term = 4 years

Q: Regular Payment Length of Payment Interval Compounding Period Nominal Term of an Rate Annuity FA 1…

A: Present value of annuity is the current value of the future payments that are calculated using the…

Q: The sum of P4200 will be withdrawn from a fund at 3-month intervals, the first withdrawal to be made…

A: Solved using Financial Calculator  PV = -48,000 FV = 6000 PMT = 4200 I/Y = 7 CPT N = 22.2304…

Q: se the sinking fund formula shown to the right to determine the monthly payment needed to accumulate…

A: A sinking fund is a fund in which the period payment are made for the total period of the fund.

Q: Using the sinking fund table, complete:       Required Amount Needed Freq of Payment Years…

A: In sinking fund, amount is accumulated by paying periodic payments and interest will also…