A fund created by making periodic deposits (usually equal) at compound interest in order to accumulate a given sum at a given future time for some specific purpose is sinking fund

Related MCQs

• A fund created by making periodic deposits (usually equal) at compound interest in order to accumulate a given sum at a given future time for some specific purpose is sinking fund
• A fund created by making periodic deposits (usually equal) at compound interest in order to accumulate a given sum at a given future time for some specific purpose is sinking fund
• A fund accumulated by periodic deposits and reserved exclusively for a specific purpose, such as retirement of a debt
• A fund accumulated by periodic deposits and reserved exclusively for a specific purpose, such as retirement of a debt
• A fund accumulated by periodic deposits and reserved exclusively for a specific purpose, such as retirement of a debt
• Given P = $1,000 , i = 8% and N = 3 years calculate future value using Compound interest
• Given P = $1,000 , i = 8% and N = 3 years calculate future value using Compound interest
• Given P = $1,000 , i = 8% and N = 3 years calculate future value using Compound interest
• You just purchased a pin inserting machine to relieve some bottleneck problems that have been created in manufacturing a PC board. The machine cost $56,000 and has an estimated service life of 5 years. At that time, the estimated salvage value would be $5,000. The machine is expected to operate 2,500 hours per year. The expected annual operating and maintenance cost would be $6,000. If your firm’s interest rate is 15%, what would be the machine cost per hour?
• You just purchased a pin inserting machine to relieve some bottleneck problems that have been created in manufacturing a PC board. The machine cost $56,000 and has an estimated service life of 5 years. At that time, the estimated salvage value would be $5,000. The machine is expected to operate 2,500 hours per year. The expected annual operating and maintenance cost would be $6,000. If your firm’s interest rate is 15%, what would be the machine cost per hour?