Find the amount of each payment to be made into a sinking fund so that enough will be present to accumulate the following amount. Payments are made at the end of each period.The interest rate given is per period. Round answer to the nearest cent.$79,000; money earns 6% compounded semiannually for 13-113 yearsA. $1,335.44B. $1,940.57○ C. $982.92D. $1,152.81

The objective of the question is to find out the amount of each payment to be made into a sinking…

Answered: Find the amount of each payment to be…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Similar questions

What is the future value of an annuity due of $800 paid semi-annually for the next 7 years, with a yield of 5% p.a. compounded semi-annually? Select one: a. $13,215.16 b. $6,923.22 c. $11,200.00 d. $13,545.54
he future value of an ordinary annuity with $200 annual deposits into an account paying 6% interest over the next 10 years will be a. $1,987.56 b. $2,636.16 c. $2,794.37 d. $2,120
K (Compound annuity) What is the accumulated sum of each of the following streams of payments? a. $500 a year for 8 years compounded annually at 10 percent. b. $104 a year for 7 years compounded annually at 9 percent. c. $32 a year for 12 years compounded annually at 11percent. d. $21 a year for 6 years compounded annually at 6 percent.
Ahmad is making $1,000 monthly deposits into a fund that pays interest at a rate of 6% compounded monthly.What would be the balance at the end of 10 years? Select one: a. $163,879 b. $127,200 c. $159,423 d. $158,169
What annual deposit is necessary to have $15,000 in 7 years if all the money is deposited at 1.5% interest compounded annually? (a) State the type. amortization sinking fund ordinary annuity present value of an annuity present value (b) Answer the question. (Round your answer to the nearest cent.) $
A fund is created by making equal monthly deposits of P4,000 at 9% converted monthly for half a year. Find the following: 1. the sum after half a year2. periodic depositChoices a. 0.75b. 0.0075c. 6d. 1/2e. P24, 454.53f. P16, 180.90g. P4,000.00
What sinking fund payment would you need at the end of each three months at 12% interest compounded quarterly to amount $3500 in 4 years? $232.93 $732.32 $481.05 $173.64
Find the present value of the following perpetuity. Made At: beginning Perpetuity Payment $380 Payment Period 1 month Interest Rate 9.9% Conversion Period annually Find the present value. Do not approximate the answer. The present value is $. (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
Find the amount of periodic payment necessary for the deposit to a sinking fund. (Round your answer to the nearest cent.)$ Amount Needed A Frequency n Rate r Time t $70,000 semiannually 3% 15 yr
Suppose you would like to invest your money for your future. You have threechoices of funding agencies namely, FA 1, FA 2, and FA 3. Based on the givendata below, compute for the future interest of each funding agency. What would you choose? Explain your answer.
You deposit $9500 per quartely for 1 years at i, = 8.31 %. This fund then provides for a perpetuity of $6100 per year, with the first payment made n month after the final deposit. At the time of the first perpetuity payment, interest rates fall to i, = 2.37 %. Find n. %3D Answer: 30.36
Using the sinking fund table, complete: Required Amount Needed Freq of Payment Years Interest Rate Payment Amount end of each period $40,000 Quarterly 7 8%

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