8.4 Chevron Corporation purchased a truck by issuing an $80,000, four-year, non-interest-bearing note to Equality Inc. The market interest rate for obligations of this nature is 8%. Required Calculate the purchase price using any of the three methods (tables, financial calculator, or Excel). Prepare the journal entry to record the truck purchase.
8.4 Chevron Corporation purchased a truck by issuing an $80,000, four-year, non-interest-bearing note to Equality Inc. The market interest rate for obligations of this nature is 8%. Required Calculate the purchase price using any of the three methods (tables, financial calculator, or Excel). Prepare the journal entry to record the truck purchase.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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8.4
Chevron Corporation purchased a truck by issuing an $80,000, four-year, non-interest-bearing note to Equality Inc. The market interest rate for obligations of this nature is 8%.
Required
- Calculate the purchase price using any of the three methods (tables, financial calculator, or Excel). Prepare the journal entry to record the truck purchase.
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