Stone Company is facing several decisions regarding investing and financing activities. Address each decision independently. Required $2$

Stone needs to accumulate sufficient funds to pay a $$600,000$ debt that comes due on December $31,2029.$ The company

will accumulate the funds by making five equal annual deposits to an account paying $8\%$ interest compounded annually.

Determine the required annual deposit if the first deposit is made on December $31,2024.$

Note: Round your final answers to nearest whole dollar amount. Answer is not complete.

Complete this question by entering your answers in the tabs below.

Required $3$

On January $1,2024,$ Stone leased an office building. Terms of the lease require Stone to make $20$ annual lease payments of $$140,000$ beginning on January $1,2024.$ A $12\%$ interest rate is implicit in the lease agreement. At what amount should Stone record the lease liability on January $1,2024,$ before any lease payments are made?

Note: Round your final answers to nearest whole dollar amount.

Show less $A$

$\backslash$table$[[,\backslash$table$[[$Table$,$ Excel, or calculator$],[$function$]]],[$Table$,$ Excel, or calculator function:,$],[$Payment:$,],[$n$=,],[$i$=,],[$Liability:$,]]$ Problem $5-5($Algo$)$ Investment decision; varying rates $[$LO$5-3,5-8]$

The Claussens are considering the purchase of a hardware store. The Claussens anticipate that the store will generate cash flows of

$$78,000$ per year for $20$ years. At the end of $20$ years, they intend to sell the store for an estimated $$480,000.$ The Claussens will

finance the investment with a variable rate mortgage. Interest rates will increase twice during the $20-$year life of the mortgage.

Accordingly, the Claussens' desired rate of return on this investment varies as follows:

Required:

What is the maximum amount the Claussens should pay for the hardware store? $($Assume that all cash flows occur at the end of the

year.$)$

Note: Do not round intermediate calculations. Round your final answers to nearest whole dollar amount. Use tables, Excel, or a

financial calculator. $($FV of $$1,$ PV of $$1,$ FVA of $$1,$ PVA of $$1,$FVAD of $$1$ and PVAD of $$1)$Problem $5-13($Algo$)$ Lease vs$.$ buy alternatives $[$LO$5-3,5-8,5-10]$

Kiddy Toy Corporation needs to acquire the use of a machine to be used in its manufacturing process. The machine needed is

manufactured by Lollie Corporation. The machine can be used for $9$ years and then sold for $$18,000$ at the e

On June $30,2024,$ the Stone Company purchased equipment from Paper Corporation. Stone agreed to pay $$30,000$ on the

purchase date and the balance in five annual installments of $$7,000$ on each June $30$ beginning June $30,2025.$ Assuming that

an interest rate of $12\%$ properly reflects the time value of money in this situation, at what amount should Stone value the

equipment?

Stone needs to accumulate sufficient funds to pay a $$600,000$ debt that comes due on December $31,2029.$ The company will

accumulate the funds by making five equal annual deposits to an account paying $8\%$ interest compounded annually. Determine

the required annual deposit if the first deposit is made on December $31,2024.$

On January $1,2024,$ Stone leased an office building. Terms of the lease require Stone to make $20$ annual lease payments of

$$140,000$ beginning on January $1,2024.$ A $12\%$ interest rate is implicit in the lease agreement. At what amount should Stone

record the lease liability on January $1,2024,$ before any lease payments are made?

Note: For all requirements, Use tables, Excel, or a financial calculator. $($FV of $$1,PV$ of $$1,$FVA of $$1,$PVA of $$1,$FVAD of $$1$ and PVAD

of $$1$

Answer is not complete.

Complete this question by entering your answers in the tabs below.

On June $30,2024,$ the Stone Company purchased equipment from Paper Corporation. Stone agreed to pay $$30,000$ on the

purchase date and the balance in five annual installments of $$7,000$ on each June $30$ beginning June $30,2025.$ Assuming

that an interest rate of $12\%$ properly reflects the time value of money in this situation, at what amount should Stone value

the equipment?

Note: Round your final answers to nearest whole dollar amount.