Answered: A company has a $160,000 note due in 7…

A company has a $160,000 note due in 7 years. How much should be deposited at the end of each quarter in a sinking fund to pay off the note in 7 years if the interest rate is 5% compounded quarterly?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 8EA: You put $250 in the bank for S years at 12%. A. If interest is added at the end of the year, how...

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A company has a $160,000 note due in 7 years. How much should be deposited at the end of each quarter in a sinking fund to pay off the note in 7 years if the interest rate is 5% compounded quarterly?

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