economics problem help thanksss
The following schedule of funds is available to form a sinking fund. Current year
n+ 1 $40,000
At the end of the fourth year, equipment costing $250,000. 00 will have to be purchased as a replacement for old equipment. Money is valued at 20% by the company. At the time of purchase, how much money will be needed to supplement the sinking fund?
a) $12,000 b) $11,000 c) $10,000 d) $9,000