Example of sinking fund factor, Financial Accounting

Assignment Help:

How much must you save annually in order to accumulate Rs. 20, 00,000 by the ending of 10 years, whether the saving earns an interest of 12%?         

   Solution:

A = [k/((1 + k)n - 1)]FVAn    

= Rs. 20,000 * 1/FVIFA12%,10

= Rs. 20,000 * 1/17.548

= 1, 11,400


Related Discussions:- Example of sinking fund factor

Define the 401 plan, Q. Define the 401 Plan? 401(k) Plan - EMPLOYEE BEN...

Q. Define the 401 Plan? 401(k) Plan - EMPLOYEE BENEFIT PLAN authorized by INTERNAL REVENUE CODE section 401(k), whereby an employer establishes an account for every participati

What is the pension expense that cooper enterprises, The following informat...

The following information for Cooper Enterprises is given below: December 31, 2013 Assets and obligations Plan assets (at fair value) $200,000 Accumulated benefit obligation 370,00

compare the marginal rates of substitution, Consider two individuals with ...

Consider two individuals with endowments of 60 hours per week of leisure, nonlabour income of $Y per week, and a wage of $7.50.  At this wage assume that workers are constrained by

What amount of loss, On January 1, 2011, Doty Co. redeemed its 15-year bond...

On January 1, 2011, Doty Co. redeemed its 15-year bonds of $2,500,000 par value for 102. They were originally issued on January 1, 1999 at 98 with a maturity date of January 1, 201

Prior period adjustments, Q. Prior period adjustments a. may only increase ...

Q. Prior period adjustments a. may only increase retained earnings. b. may only decrease retained earnings. c. may either increase or decrease retained earnings. d. do not affect r

Perform horizontal financial analysis, For this assignment you are acting a...

For this assignment you are acting as a financial analyst for Apple Inc. Apple Inc. Is one of the most innovative companies worldwide. For example, in November 2012 Apple sold 3 mi

Example on differential cash flows, Q. Example on Differential cash flows? ...

Q. Example on Differential cash flows? Differential cash flows: contracting out versus in-house provision NET PRESENT VALUE =£45519 The positive NPV signifies th

Calculation of efficiency ratios, Calculation of Efficiency ratios  - ...

Calculation of Efficiency ratios  -                     2008 2009 2010 M Net Sales

The most common critical point for recognizing revenue, for a typical manuf...

for a typical manufacturing company, the most common critical point for recognizing revenue is the date a an order is recieved b. production is completed c the product is delievere

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd