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On January 1, 2019, James Company purchased a new equipment with a fair market value of $65,000 in exchange for an installment note requiring seven equal annual payments, starting on December 31, 2019. The implied interest rate is 8% per year. What is the annual payment to be made by made by James Company (requires use of present value tables) A. $37,830.65 B. $37,926.85 C. $12,484.70 D. $10,885.40 On January 1, 2019, James Company purchased a new equipment with a fair market value of $65,000 in exchange for an installment note requiring seven equal annual payments, starting on December 31, 2019. The implied interest rate is 8% per year. What is the annual payment to be made by made by James Company (requires use of present value tables) A. $37,830.65 B. $37,926.85 C. $12,484.70 D. $10,885.40
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Related Book For
Intermediate Accounting IFRS
ISBN: 978-1119372936
3rd edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
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