Question

Cooper Company has purchased equipment that requires annual payments of $22,000 to be paid at the...

Cooper Company has purchased equipment that requires annual payments of $22,000 to be paid at the end of each of the next 6 years. The discount rate is 14​%. The present value of​ $1 for six periods at 14​% is 0.456. The present value of an ordinary annuity of​ $1 for six periods at 14​% is 3.889.

What amount will be assigned to the equipment at the purchase​ date? (Round your final answer to the nearest​ dollar.)

A. $85,558

B. $10,032

C. $5,657

D.$ 95,590

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