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Butter Ltd entered a finance lease on 1 July 2023 to lease a piece of moulding equipment. The present value at the inception of the

Butter Ltd entered a finance lease on 1 July 2023 to lease a piece of moulding equipment. The present value at the inception of the lease is $290,700. The annual lease payment of $35,000 is due on 30 June 2024. The implicit interest rate for the lease is 12%. How much is the capital portion of repayment in the first year?

Group of answer choices

$35,000

$24,684

$11,554

$10,316

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