ABC Company purchased land for $19,472 by signing a note requiring six equal annual payments with the first payment made immediately and following payments made at the end of each year.The market interest rate was 8%.

a. Compute the amount of the equal payments.

b. If the interest expense for the first year is the rate of interest times the present value of the note at the beginning of the year, what would the present value of the note be at the end of the first year?