On January 1, 2016, Glanville Company sold goods to Otter Corporation. Otter signed an installment note requiring payment of $15,000 annually for six years. The first payment was made on January 1, 2016. The prevailing rate of interest for this type of note at date of issuance was 8%. Glanville should record sales revenue in January 2016 of:

None of these answer choices is correct.

$90,000.

$74,891.

$69,343.

Yamaha Inc. hires a new chief financial officer and promises to pay him a lump-sum bonus four years after he joins the company. The new CFO insists that the company invest an amount of money at the beginning of each year in a 7% fixed rate investment fund to insure the bonus will be available. To determine the amount that must be invested each year, a computation must be made using the formula for:

None of these answer choices is correct.

The future value of an annuity due.

The future value of a deferred annuity.

The future value of an ordinary annuity

Incognito Company is contemplating the purchase of a machine that provides it with net after-tax cash savings of $92,000 per year for five years. Interest is 10%. Assume the cash savings occur at the end of each year. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1)

a)alculate the present value of the cash savings