Chancellor Ltd

question 58

Multiple Choice

Chancellor Ltd.sells an asset with a $1 million fair value to Sophie Inc.Sophie agrees to make six equal payments,one year apart,commencing on the date of sale.The payments include principal and 6% annual interest.Compute the annual payments.

• A)$166,651.
• B)$135,252.
• C)$203,351.
• D)$191,852.

---

Definitions:

Renewable Sources

Energy sources that are replenished naturally, such as solar, wind, and hydroelectric power.

Fossil Fuels

Natural fuels such as coal, oil, and natural gas, derived from the remains of ancient plants and animals, used primarily for energy.

Basis of Classification

The principle or criteria used to categorize or differentiate objects, ideas, or information.

Hotels

Accommodation facilities that provide temporary lodging, meals, and other services for travelers and tourists.