Crane Corp. is a manufacturer of truck trailers. On January 1, 2025, Crane leased ten trailers...

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Crane Corp. is a manufacturer of truck trailers. On January 1, 2025, Crane leased ten trailers to Novak Company under a five-year noncancelable lease agreement. The following information about the lease and the trailers is provided: 1 Equal annual payments that are due on January 1 each year provide Crane with an 8% return on net investment (the present value factor on an annuity due for 5 periods at 8% is 4.31213). The first payment will be made January 1, 2025. 2. 3. 4. Titles to the trailers pass to Novak at the end of the lease. The fair value of each trailer is $57,000. The cost of each trailer to Crane is $51,300. Each trailer has an expected useful life of nine years Collectibility of the lease payments is probable. Prepare a lease amortization schedule for Crane Corp. for the first three years. (Round answers to O decimal places e.g. 5,275.) Crane Corp. Lease Amortization Schedule (Lessor) Interest on Lease ate Annual Lease Rental Receivable 1/25 1/25 S 1/26 1/27 $ Lease Lease Receivable Recovery Receivable Crane Corp. is a manufacturer of truck trailers. On January 1, 2025, Crane leased ten trailers to Novak Company under a five-year noncancelable lease agreement. The following information about the lease and the trailers is provided: 1 Equal annual payments that are due on January 1 each year provide Crane with an 8% return on net investment (the present value factor on an annuity due for 5 periods at 8% is 4.31213). The first payment will be made January 1, 2025. 2. 3. 4. Titles to the trailers pass to Novak at the end of the lease. The fair value of each trailer is $57,000. The cost of each trailer to Crane is $51,300. Each trailer has an expected useful life of nine years Collectibility of the lease payments is probable. Prepare a lease amortization schedule for Crane Corp. for the first three years. (Round answers to O decimal places e.g. 5,275.) Crane Corp. Lease Amortization Schedule (Lessor) Interest on Lease ate Annual Lease Rental Receivable 1/25 1/25 S 1/26 1/27 $ Lease Lease Receivable Recovery Receivable