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1. Acme purchases a new delivery truck making a cash payment of $10,000, a $12,000 trade-in on the old delivery truck and enters into a

1. Acme purchases a new delivery truck making a cash payment of $10,000, a $12,000 trade-in on the old delivery truck and enters into a 5-year loan for the balance, requiring yearly payments of $6,000 each. The interest rate on the loan is 4% and the first payment is due at date of sale. What amount should Acme capitalize for the purchase of the delivery truck

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