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Question - On December 1, 2020, Richards Company sold some machinery to Fleming Company. The two companies entered into an installment sales contract at a predetermined interest rate. The contract required four equal annual payments with the first payment due on December 1, 2020, the date of the sale. What time value of money concept is appropriate for this situation?
a. Future amount of an annuity of 1 for four periods
b. Future amount of 1 for four periods
c. Present value of an ordinary annuity of 1 for four periods
d. Present value of an annuity due of 1 for four periods.
That the taxpayer has consistently elected to carryback the net operating losses as incurred and elected the "two-year" carryback provision.
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Water world pays all executory costs directly to third parties. The appropriate interest rate is 10%. Prepare Water world's January 1, 2011, journal entries at the inception of the lease.
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total fixed cost are estimated at 100000 total unit expected to sold are 50000 total variable cost are 300000 unit
The deposits are made on the last day of each year and yield a return of 10%. Determine the amount of deficiency
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