Lyle, Inc, Purchased Certain Plant Assets Under a Deferred Payment Contract

Lyle, Inc., purchased certain plant assets under a deferred payment contract on December 31, 2020. The agreement was to pay $20,000 at the time of purchase and $20,000 at the end of each of the next five years. The plant assets should be valued at

A) The present value of a $20,000 ordinary annuity for five years
B) $120,000
C) $120,000 less imputed interest
D) $120,000 plus imputed interest