Loan of EGP 30,000 is taken out. A sinking fund is set up to pay back...

Loan of EGP 30,000 is taken out. A sinking fund is set up to pay back the EGP 30,000 in one lump sum at the end of 5 years. The sinking fund earns j4 = 4% and deposits are made Quarterly. Find the book value of the debt after 3 years.

Expert Solution

The book value of the debt after 3 years is 12,721

See the amortization schedule for calculations

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jeff jeffy answered 1 year ago

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