b. Have no effect on total assets and decrease net income! c. Decrease total assets and net income. d. Have no effect on total assets and net income. Foot Loose Inc, needs to purchase a new shoelace-making machine. Machines Ready has agreed to sell Foot Loose the machine for $22,000 down and four payments of $5.700 to be paid in semiannual installments for the next two years. Do-It-Yourself Machines has offered to sell Foot Loose a comparable machine for $10,000 down and four semiannual payments of $9,000. If the current interest rate is 12%, compounded semiannually. The applicable present value factors are listed below. Present value factor of a single dollar, n24 i=12% = 0.63552 Present value factor of an ordinary annuity, n=4, i=12% = 3.03735 Present value factor of an annuity due, n-4,1-12% = 3.40183 Present value factor of an ordinary annuity, n-4, i-6% = 3.46511 Present value factor of an annuity due, n-4.1=6% = 3.67301 (1) What is the cost of the machine if Machines Ready was used as a supplier (rounded to the nearest dollar)? 40880 (2) What is the cost of the machine if Do-It-Yourself Machines was used as a supplier (rounded to the nearest dollar)? 39810 (3) Which machine should Foot Loose purchase? The answer should be either Machines Ready or Do-It-Yourself Do-It-Yourself Machine Machines Ready (4) If the machine is purchased on January 1 of year 1 from Do-It-Yourself Machines, what is the total interest expense to be recorded in year 1 relevant to this transaction, assuming that Foot Loose, Inc. has a December 31 year end? (rounded to the nearest dollar) 18880 (5) If the machine is purchased on January 1 of year 1 from Do-It-Yourself Machines, what is the total interest expense to be recorded in year 1 relevant to this transaction, assuming that Foot Loose, Inc. has a September 30th year end? (rounded to the nearest dollar) 298010