Rae Company purchased a new vehicle by paying $10,700 cash on the purchase date and agreed to pay $3,700 every three months during the next five years. The first payment is due three months after the purchase date. Rae's incremental borrowing rate is 12%. The liability reported on the balance sheet as of the purchase date, after the initial $10,700 payment was made, is closest to: (FV of $1, PV of $1. FVA of $1, and PVA of $1) (Use appropriate factor(s) from the tables provided.) Multiple Choice $55,047. $84,700. $74,000 $65,747 D