FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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https://education.wiley.com/content/Kieso_Intermediate_Accounting_17e/media/simulations/interest_rate_tables.pdf
Transcribed Image Text:Ayayai Corporation purchased a special tractor on December 31, 2020. The purchase agreement stipulated that Ayayai should
pay $21,640 at the time of purchase and $4,960 at the end of each of the next 8 years. The tractor should be recorded on
December 31, 2020, at what amount, assuming an appropriate interest rate of 12%? (Round factor values to 5 decimal places, e.g.
1.25124 and final answer to O decimal places, e.g. 458,581.)
Cost of tractor to be recorded
$4
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