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Blue Co. recorded a right-of-use asset of $200,000 in a 10-year operating lease. Payments of $28,476 re made annually at the end of each year.

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Blue Co. recorded a right-of-use asset of $200,000 in a 10-year operating lease. Payments of $28,476 re made annually at the end of each year. The interest rate charged by the lessor was 7% and was cnown by Blue. The balance in the right-of-use asset after two years will be: A) $242,952. B) $170,035. C) $171,048. D) $200,000

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