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An operating lease calls for equal payments of $250,000 per year for 6 years. The total expense related to the lease reported in the first
An operating lease calls for equal payments of $250,000 per year for 6 years. The total expense related to the lease reported in the first year of the lease is what?
A. 250,000
B. Zero
C. $1,500,000
D. The present value of the lease payments times the effective interest rate.
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