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Sarasota Corporation, having recently issued a $20,134,100, 15-year bond issue, is committed to make year and yield a return of 10%. Click here to view factor tables Determine the amount of deficiency. (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to O decimal places, e.g. 458,581.) Deficiency

Sarasota Corporation, having recently issued a $20,134,100, 15-year bond issue, is committed to make year and yield a return of 10%. Click here to view factor tables Determine the amount of deficiency. (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to O decimal places, e.g. 458,581.) Deficiency

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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### Sinking Fund Deficiency Calculation **Scenario:** Sarasota Corporation recently issued a $20,134,100, 15-year bond. They are committed to making annual sinking fund deposits of $613,500. These deposits are made on the last day of each year and yield a return of 10%. **Instructions:** 1. **Factor Tables:** A link is provided to view factor tables necessary for calculation. 2. **Round and Calculate:** Round factor values to five decimal places and the final answer to zero decimal places. **Task:** Determine the amount of deficiency. **Deficiency Calculation:** - Input the calculated deficiency in the provided field. **Note:** Make sure to follow the rounding guidelines strictly to ensure accuracy in your calculations.
Transcribed Image Text:### Sinking Fund Deficiency Calculation **Scenario:** Sarasota Corporation recently issued a $20,134,100, 15-year bond. They are committed to making annual sinking fund deposits of $613,500. These deposits are made on the last day of each year and yield a return of 10%. **Instructions:** 1. **Factor Tables:** A link is provided to view factor tables necessary for calculation. 2. **Round and Calculate:** Round factor values to five decimal places and the final answer to zero decimal places. **Task:** Determine the amount of deficiency. **Deficiency Calculation:** - Input the calculated deficiency in the provided field. **Note:** Make sure to follow the rounding guidelines strictly to ensure accuracy in your calculations.
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