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29. The entity purchased land paying P200,000 cash and non-interest bearing note amounting to P1,000,000. The note is payable in 4 equal annual installments. The first installment payment is at the transaction date. If the effective rate of the note is equal to 10%, how much is the cost of the equipment? Group of answer choices 792,466 992,466 1,071,713 781,713

29. The entity purchased land paying P200,000 cash and non-interest bearing note amounting to P1,000,000. The note is payable in 4 equal annual installments. The first installment payment is at the transaction date. If the effective rate of the note is equal to 10%, how much is the cost of the equipment? Group of answer choices 792,466 992,466 1,071,713 781,713

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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29. The entity purchased land paying P200,000 cash and non-interest bearing note amounting to P1,000,000. The note is payable in 4 equal annual installments. The first installment payment is at the transaction date. If the effective rate of the note is equal to 10%, how much is the cost of the equipment?
Group of answer choices

792,466

992,466

1,071,713

781,713

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