Question 4 Teal Mountain Company purchased a machine at a price of $104,800 by signing a note payable, which requires a single payment of $177,003 in 4 years. Click here to view the factor table PRESENT VALUE OF 1. Click here to view the factor table PRESENT VALUE OF AN ANNUITY OF 1. (a) Your answer is correct. Assuming annual compounding of interest, what rate of interest is being paid on the loan? (Round answer to o decimal places, e.g. 52%.) Rate of interest 14% SHOW SOLUTION LINK TO TEXT Rectangular Snip Attempts: 3 of 3 used (b) What would be the purchase price of the machine had Teal Mountain negotiated a single payment of $126,500 in 4 years, using the same effective rate? (Round answer to 2 decimal places, e.g. 5,275.25.) Purchase price of the machine