On December $1.2025,$ Richards Compary sold some machinery to Fleming Company. The two companies entered into an installment sales contract at a predetermined interest rate. The contract required four equal annaal payments with the frst parment due on December $1\mathrm{.}2025,$ the date of the sale. What time value of money concept is appropriate for thls situation?

Future amount of an annuity of $1$ for four periods

Present value of an ordinary annulty of $1$ for four perlods

Present value of an annulty due of $1$ for four periods

Future amount of $1$ for four periods