Chapter 6 Quiz - Question 1 0.5 out of 0.5 points What...

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Unformatted text preview: Question 1 0.5 out of 0.5 points What amount should be recorded as the cost of a machine purchased December 31, 2009, which is to be financed by making 8 annual payments of $11,470 each beginning December 31, 2010? The applicable interest rate is 12%. Answer Selected Answer: $56,979 Correct Answer: $56,979 Question 2 0.5 out of 0.5 points Wagster Corporation will invest $25,000 every December 31st for the next six years starting on December 31, 2007. If the fund earns 10%,what amount will be in the fund on December 31, 2012? Answer Selected Answer: Correct Answer: Question 3 0.5 out of 0.5 points On January 2, 2009, Yetti Corporation wishes to issue $2,000,000 (par value) of its 12%, 10-year bonds. The bonds pay interest annually on January 1. The current yield rate on such bonds is 10%. Compute the amount that Yetti will realize from the sale (issuance) of the bonds. Answer Selected Answer: Correct Answer: Question 4 0.5 out of 0.5 points At the end of three years, what will be the balance in a savings account paying 6% annually if $50,000 is...
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This note was uploaded on 10/19/2010 for the course ACCOUNTING Finance 23 taught by Professor Bob during the Winter '10 term at Wayne State University.

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Chapter 6 Quiz - Question 1 0.5 out of 0.5 points What...

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