Equipment on a long-term payment plan


Land Enterprises has purchased new equipment on a long-term payment plan. The contract calls for Land to pay $50,000 at the end of each year for 6 years, at an interest rate of 8%. At what amount should Land record this equipment and what total amount of interest will it pay over the 6 years?

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Accounting Basics: Equipment on a long-term payment plan
Reference No:- TGS0554811

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