Question: Hello, I am not understanding how I can determine the present value and the value of equipment.. I've tried to add the down payment plus

Hello,

I am not understanding how I can determine the present value and the value of equipment.. I've tried to add the down payment plus the five installments with added interest.

Hello, I am not understanding how I can determine
On June 30, 2021, the Johnstone Company purchased equipment from Genovese Corp. Johnstone agreed to pay Genovese $13,000 on the purchase date and the balance in five annual installments of $5,000 on each June 30 beginning June 30, 2022. Assuming that an interest rate of 10% properly reflects the time value of money in this situation, at what amount should Johnstone value the equipment? (Round your final answers to nearest whole dollar amount.) Show less A Table values are based on: n = 5 0 i= 10% V Cash Flow Amount Present Value Installments 69 5,000 $ 38,000 x Down Payment 13,000 13,000 Value of the equipment $ 27,500 x

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