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An asset with a fair value of $170 is leased. The lease agreement is for 4 payments made in advance of $50 each year. Calculate

An asset with a fair value of $170 is leased. The lease agreement is for 4 payments made in advance of $50 each year. Calculate the implicit interest rate if there is no residual. Initial recognition?

a. 20%

b. None of the answers given

c. 10%

d. 18%

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