Pelcher Company Acquires a Machine by Issuing a Note That

Multiple Choice

Pelcher Company acquires a machine by issuing a note that requires semiannual payments of $4,000 for 3 years. The interest rate on the note is 10% compounded semiannually. What is the cost of the machine? (^{PV of $1}, ^{FV of $1}, ^{PVA of $1}, and ^{FVA of $1}) (Use appropriate factor(s) from the tables provided.)

A) $17,421.20
B) $10,892.80
C) $20,302.80
D) $24,000.00
E) $ 9.947.41