13) Payments into a sinking fund are always made when? A) at the end of each per

label Business
account_circle Unassigned
schedule 1 Day
account_balance_wallet $5

13) Payments into a sinking fund are always made when? 

A) at the end of each period 

B) when the funds are available 

C) at the beginning of each period 

D) lump sum at the beginning of the sinking fund

Apr 26th, 2015

A) at the end of each period

The point of a sinking fund is to funnel money into a separate account to meet the future bond obligations. This is a requirement for some bonds, so it's not just done when extra funds are available, or a lump sum at the beginning--if we had the money to do a lump sum at the beginning, we wouldn't have sold bonds. 

Apr 26th, 2015

Did you know? You can earn $20 for every friend you invite to Studypool!
Click here to
Refer a Friend
...
Apr 26th, 2015
...
Apr 26th, 2015
Oct 17th, 2017
check_circle
Mark as Final Answer
check_circle
Unmark as Final Answer
check_circle
Final Answer

Secure Information

Content will be erased after question is completed.

check_circle
Final Answer