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Question
An installment note payable for a principal amount of $94,000 at 6% interest requires Lawson Company to repay the principal and interest in equal annual payments of $22,315 beginning December 31, of the first year, for each of the next 5 years. After the final payment, the carrying amount on the note will be
a. $1,263
b. $21,053
c. $22,315
d. $0
Answer
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