ACC Int II CH 15

Anderson Consulting leased machinery from Red Inc. on July 1, 2018. The lease was recorded as a finance lease. The present value of the lease payments discounted at 9% was $227,000. Ten annual lease payments of $32,451 are due each July 1 beginning July 1, 2018. On July 1, 2019, the debit to Lease Payable will be $_____