What mandatory deposit required in fund for each half- year

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Problem 1: Suppose that USP decides to issue $5m in bonds to construct a Business Research Centre. The University is required to set up a sinking fund where it will need to deposit a fixed amount at the end of every end of 6 months paying 20% compounded semi-annually. At the end of the 10 years, the bond obligation will be retired. The mandatory deposit required in the fund for each half- year is

Reference no: EM132938139

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