Purchase price of the equipment, Accounting Basics

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Purchase price of the equipment

Problem:

The Thailand Co. is considering the purchase of some new equipment. The quote consists of a quarterly payment of $4,000 for 5 years at 12% interest.

Required:

Question: What is the purchase price of the equipment?

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Accounting Basics: Purchase price of the equipment

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Accounting Basics: Purchase price of the equipment

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