To Redeem a $100 000

question 27

Essay

To redeem a $100 000.00 promissory note due in 12 years,Flinstone Inc.has set up a sinking fund earning 7.25% compounded semi-annually.Equal deposits are made at the beginning of every six months.
a)What is the size of the semi-annual deposits?
b)How much of the maturity value of the fund is deposits?
c)How much is interest?

Understand the basic components and calculations involved in pension and postretirement benefit expenses.

Identify differences between postretirement benefit plans and pension plans, including funding requirements.

Calculate pension expense and pension liability.

Understand the impact of actuarial assumptions on pension costs and obligations.

---

Definitions:

Herbivores

Animals that feed primarily on plants or plant material.

Biological Portion

Component or section of a biological sample or structure with specific functions or characteristics.

Phosphorus

A chemical element essential for life, playing key roles in biological molecules like DNA, RNA, and ATP, and involved in energy transfer within cells.

Biological Magnification

The process by which the concentration of toxic substances increases in each successive link in the food chain.