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Rusty Corporation purchased a rust-inhibiting machine by paying exist55,000 cash on the purchase date and agreed to pay exist11,000 every three months during the next
Rusty Corporation purchased a rust-inhibiting machine by paying exist55,000 cash on the purchase date and agreed to pay exist11,000 every three months during the next two years. The first payment is due three months after the purchase date. Rusty's incremental borrowing rate is 8%. The machine reported on the balance sheet as of the purchase date is closest to: (FV of exist1. PV of exist1. FVA of exist1. and PVA of exist1) (Use appropriate factor(s) from the tables provided.) exist80, 580. exist143,000. exist135, 580. exist88,000
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