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On January 1, 2017, Vaughn Corporation sold a building that cost $266,270 and that had accumulated depreciation of $109,830 on the date of sale. Vaughn
On January 1, 2017, Vaughn Corporation sold a building that cost $266,270 and that had accumulated depreciation of $109,830 on the date of sale. Vaughn received as consideration a $256,270 non-interest-bearing note due on January 1, 2020. There was no established exchange price for the building, and the note had no ready market. The prevailing rate of interest for a note of this type on January 1, 2017, was 9%. At what amount should the gain from the sale of the building be reported? (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to o decimal places, e.g. 458,581.) The amount of gain should be reported LINK TO TEXT LINK TO TEXT On January 1, 2017, Vaughn Corporation purchased 331 of the $1,000 face value, 9%, 10-year bonds of Walters Inc. The bonds mature on January 1, 2027, and pay interest annually beginning January 1, 2018, Vaughn purchased the bonds to yield 11%. How much did Vaughn pay for the bonds? (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to O decimal places, e.g. 458,581.) Vaughn must pay for the bonds LINK TO TEXT LINK TO TEXT Vaughn Corporation bought a new machine and agreed to pay for it in equal annual installments of $5,610 at the end of each of the next 10 years. Assuming that a prevailing interest rate of 6% applies to this contract, how much should Vaughn record as the cost o the machine? Round factor va ues to 5 deci a places e 1.25124 and final answer to o decimal places, e.g. 458,581.) Cost of the machine to be recorded LINK TO TEXT LINK TO TEXT
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