Will the fund at the end of 15 years be sufficient to retire the bonds? If not, what will the deficiency be?
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Bonita Corporation, having recently issued a $20,062,200, 15-year bond issue, is committed to make annual sinking fund deposits of $620,000. The deposits are made on the last day of each year and yield a return of 10%. Will the fund at the end of 15 years be sufficient to retire the bonds? If not, what will the deficiency be?
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- If 90,000 is invested in a fund on December 31, 2019, and 5 equal annual withdrawals of 23,138.32 are made starting on December 31, 2020, that will deplete the fund, what is the interest rate being earned if interest is compounded annually?Bramble Corporation, having recently issued a $20,094,900, 15-year bond issue, is committed to make annual sinking fund deposits of $617,600. The deposits are made on the last day of each year and yield a return of 10%.Will the fund at the end of 15 years be sufficient to retire the bonds? Future value of an ordinary annuity $ Will funds be sufficient?Ace Co. has issued $10,000,000, 20-year bonds and plans to make annual sinking fund deposits of $240,000 at the end of each year in order to repay the bonds at maturity. a. Assuming the sinking fund yields a return of 7%, should the fund balance be sufficient to repay the bonds in 20 years? b. Compute the required annual sinking fund deposits needed to accumulate the $10,000,000 repayment.
- Manatee Corporation wants to withdraw $500,000 (including principal) from an investment fund at the end of each year for 12 years. What should be the required initial investment at the beginning of the first year if the fund earns 9%?Bramble Corporation, having recently issued a $20,094,900, 15-year bond issue, is committed to make annual sinking fund deposits of $617,600. The deposits are made on the last day of each year and yield a return of 10%.Click here to view factor tablesDetermine the amount of deficiency. (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 458,581.) Deficiency $Wildhorse Corporation, having recently issued a $ 20,110,400, 15-year bond issue, is committed to make annual sinking fund deposits of $ 612,200. The deposits are made on the last day of each year and yield a return of 10%.Click here to view factor tablesDetermine the amount of deficiency. (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 458,581.) Deficiency $ enter a dollar amount rounded to 0 decimal places
- Cargojet Corp. is preparing for the replacement of one of its jets in three years by making payments to a sinking fund at the beginning of every six months for the next three years. The fund earns 6% compounded semiannually, and the capital required in three years is $750,000. What is the size of the semiannual payment made to the sinking fund? __________ How much of the maturity value of the fund will be interest? __________ Construct a partial sinking fund schedule showing details of the first two and the last two payments and totals. Round the sinking fund payments, interest payments and increases in the fund to the nearest dollar.Kingbird Corporation wants to withdraw $126,920 (including principal) from an investment fund at the end of each year for 9 years. What should be the required initial investment at the beginning of the first year if the fund earns 11%? Especially confused about what including principal means for the problem.Ayayai Corporation wants to withdraw $125,900 (including principal) from an investment fund at the end of each year for 9 years. What should be the required initial investment at the beginning of the first year if the fund earns 11%? (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 458,581.) Required initial investment %24
- How much should SKF Steel Company invest in a fund to be able to withdraw $10,000 at the end of every 3 months for five years? The money in the fund is expected to grow at 4% compounded quarterly for the first two years, and 6% compounded quarterly for the next three yearsStrikler inc. Has issued 10 million 10 year bond. The bond requires strikler to establish a sinking fund and make 10 equal end of the year deposits into the fund. These deposits will earn 8% annually and the fund should have enough accumulated in it at the end of 10 years to retire the bonds. What's are the annual sinking fund paymentsA company project needs to establish a fund within a ten-year period by making annual deposits of ₱78,000, where deposits are to be made at the beginning of each year. If the company board decides to change the plan and prefers to make the deposits at the end of each each instead, what amount should the annual deposits be to completely establish the fund at the end of the 10-year period? Annual interest is at 8.4%
