Alden Trucking Company Is Replacing Part of Its Fleet of Trucks

question 28

Multiple Choice

Alden Trucking Company is replacing part of its fleet of trucks by purchasing them under a note agreement with Kenworthy on January 1, 2016. Alden financed $37,908,000, and the note agreement will require $10 million in annual payments starting on December 31, 2016 and continuing for a total of four more years (final payment December 31, 2020) . Kenworthy will charge Alden Trucking Company the market interest rate of 10% compounded annually. The amount of principal that is paid at December 31, 2016 is:

• A)$32,908,000.
• B)$31,698,800.
• C)$40,000,000.
• D)$27,908,000.

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Definitions:

Single Self

The concept of a unified, singular identity or consciousness that an individual perceives themselves as over time.

Own Mind

The individual's unique thoughts, beliefs, and cognitive processes that are independent of external influences.

Other People's Minds

The concept or theory related to understanding and inferring the thoughts, feelings, and intentions of others.

Søren Kierkegaard

A Danish philosopher considered the father of existentialism, known for his critique of Hegel and exploration of individuality, faith, and ethics.