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On 12-31-15, Acme purchased a machine. Acme signed a $750,000 zero-interest bearing note. The note is payable in full on 12- 31-18. Assume an acceptable
On 12-31-15, Acme purchased a machine. Acme signed a $750,000 zero-interest bearing note. The note is payable in full on 12- 31-18. Assume an acceptable interest rate on similar notes was 3%. On 12-31-15, Acme incurred and paid $20,000 to have the machine installed in its sales office. In this problem, you can ignore depreciation - we'll get to that in chapter 11. Prepare the entries Acme should make related to this machine on a. 12-31-15 b. 12-31-16 c. 12-31-17. d. 12-31-18
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