
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Question
A corporation issues 100 sinking fund bonds of P1,000 face value, redeemable at par in 15 years, with interest payable semi-annually at 4% per annum. The sinking fund earns interest at the rate of 3.5% compounded annually and the contribution to be made twice a year. Calculate the total periodic disbursement of the corporation for these bonds, exclusive of legal and administrative expenses.
4,563
2,000
4,664
2,563
3,685
2,664
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