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kirza4 [7]
3 years ago
8

Calloway Company recorded a right-of-use asset of $790,000 in a 10-year finance lease. The interest rate charged by the lessor w

as 10%. The balance in the right-of-use asset after two years will be:
Business
1 answer:
enot [183]3 years ago
5 0

Answer:

$632,000

Explanation:

The computation of the amount of balance in the right of use asset after two years is shown below:

Balance in right of use asset after 2 years is

= Recorded value - ((Recorded value × rate of interest) × number of years)

= $790,000 - (($790,000 × 10%) × 2)

= $790,000 - ($79,000 × 2)

= $790,000 - $158,000

= $632,000

hence, the balance is $632,000

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3 years ago
Project management is ideally suited for a business environment requiring all of the following EXCEPT:________.
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Answer:

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