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Luba_88 [7]
4 years ago
9

Each of the four independent situations below describes a sales-type lease in which annual lease payments of $190,000 are payabl

e at the beginning of each year. Each is a finance lease for the lessee.
Situation
1 2 3 4
Lease term (years) 7 7 8 8
Lessor's and lessee's interest rate 10% 12% 11% 11%
Residual value:
Estimated fair value 0 $68,000 $9,800 $68,000
Guaranteed by lessee 0 0 $9,800 $78,000
Determine the following amounts at the beginning of the lease

Situation
1 2 3 4
A The lessor's:
1 Lease payments
2 Gross investment in the lease
3 Net investment in the lease
B The lessee's:
4 Lease payments
5 Right-of-use asset
6 Lease payable

Business
1 answer:
Alenkinab [10]4 years ago
3 0

Answer:

Explanation:  

The attached diagram contain solution to the question ask

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