sinking fund
sinking fund · sinking funds
A fund established by an economic entity by setting aside revenue over a period of…A fund established by an economic entity by setting aside revenue over a period of time to fund a future capital expense or repay a long-term debt.
Meaning
1 sensesA fund established by an economic entity by setting aside revenue over a period of time to fund a future capital expense or repay a long-term debt.
More definitions
- a fund accumulated regularly in a separate account and used to redeem debt securities