Rusty Corporation purchased a rust-inhibiting machine by paying $60,000 cash on the purchase date and...
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Accounting
Rusty Corporation purchased a rust-inhibiting machine by paying $60,000 cash on the purchase date and agreed to pay $12,000 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 $1, PV of $1, FVA of $1, and PVA of $1) (Use appropriate factor(s) from the tables provided.)
$96,000.
$156,000.
$147,906.
$87,906.
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