What must be the annual yield the deposits to accumulate

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Overland Corporation recently issued $20 million in 10-year bonds. Overland wishes to make annual contributions to a sinking fund to accumulate sufficient funds to retire the bonds at the end of their term. If Overland makes annual deposits in the sinking fund of $1,500,000 at the end of each year, what must be the annual yield (interest rate) on the deposits to accumulate the needed funds?

Reference no: EM131793057

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