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On January 1 of this year, Shannon Company completed the following transactions (assume a 10% annual interest rate): (FV of $1. PV of $1, FVA
On January 1 of this year, Shannon Company completed the following transactions (assume a 10% annual interest rate): (FV of $1. PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor(s) from the tables provided.) a. Bought a delivery truck and agreed to pay $60,600 at the end of three years. b. Rented an office building and was given the option of paying $10,600 at the end of each of the next three years or paying $28,600 immediately. c. Established a savings account by depositing a single amount that will increase to $91,200 at the end of seven years. d. Decided to deposit a single sum in the bank that will provide 10 equal annual year-end payments of $40,600 to a retired employee (payments starting December 31 of this year). Required: a. What is the cost of the truck that should be recorded at the time of purchase? (Round your answer to nearest whole dollar.) & Answer is complete but not entirely correct. Cost of the truck $ 45,078 c. What single amount must be deposited in this account on January 1 of this year? (Round your answer to nearest whole dollar.) Answer is complete but not entirely correct. Amount to deposit $ 46,184 d. What single sum must be deposited in the bank on January 1 of this year? (Round your answer to nearest whole dollar.) Answer is complete but not entirely correct. Amount to deposit $ 245,783
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