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Assume that Capital Leasing purchased the delivery trucks for $100,000 on January 1, 2022 and delivered the delivery trucks to Tom's Appliances on that same

Assume that Capital Leasing purchased the delivery trucks for $100,000 on January 1, 2022
and delivered the delivery trucks to Tom's Appliances on that same date.
2-1 Identify and explain whether Capital Leasing will classify this lease as Sales Type
without selling profit, Sales Type with selling profit, or an Operating Lease.
2-2 Prepare the January 1, 2022 journal entries that Capital Leasing would make
to acquire the delivery trucks, lease the delivery trucks, and receive the first lease payment.
2-3 Prepare the June 30, 2022 and December 31, 2022 journal entries that Capital Leasing
would record for the lease.

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