On December 1, 2017, Doreen Company sold land to McKnight Company. The two companies entered into an installment sales contract at a predetermined interest rate. The contract required five equal annual payments with the first payment due on December 1, 2017, the date of the sale. What present value concept is appropriate for this situation? Present value of an annuity due of 1 for five periods. Present value of an ordinary annuity of 1 for five periods Future amount of an annuity of 1 for five periods Future amount of 1 for five periods