Question
On the first day of the Current year, Alpha Corporation purchased equipment in which the first payment will not be made until the first day
On the first day of the Current year, Alpha Corporation purchased equipment in which the first payment will not be made until the first day of the third year. At that time, Alpha is to start making annual payments of $1O,OOO at the beginning of each year for the next 5 years (a total of 5 payments). Using an interest rate of 6% compounded annually, perform two different present value computations for these payments in which one computation uses the annuity due table and the other uses the ordinary annuity table in addition to any other table required. Round to the nearest dollar.
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