Carla Vista Company, a machinery dealer, leased a machine to Dexter Corporation on January 1, 2020. The lease is for an 8-year period and requires equal annual payments of $31,751 at the beginning of each year. The first payment is received on January 1, 2020. Carla Vista had purchased the machine during 2016 for $118,000. Collectibility of lease payments by Carla Vista is probable. Carla Vista set the annual rental to ensure a 6% rate of return. The machine has an economic life of 10 years with no residual value and reverts to Carla Vista at the termination of the lease.

List of Arcounts Your ananer is incorrect. Suppose the ccllect blity of the lezze payments was not probabletor Carla Vista. Prepare thercoccary journal encry for the combcry in 2020. (Credit account blesac gubametocilindented when amount is endered. Do not Indent manually Date Account Tities and Explanation Debit Credit 11:20 clexthook and Media List of Arcounts X Your answer is incorrect Suppose at the end of the lezze term. Carla Vista receives the stand determines that it actually has a fair valco 51360 instead of the artic patec rescual value of Su Record the entry to recogize the recipt of the set for Carla Vista as the end of the lesz term. (Credit account tibles are automatically inderted when amount is entered. Do not incent mawaly Rowd answers to decimal pluresc5.275 Date Account Titles and Explanation Debit Credit 111:20 cTextanak and Media List af Accounts Ball 4 mln Attempts: 1 of 10 used B LAST Carla Vista Combarry. arinery dealer.leased a machine to Dexte - Corporation on January 1.2020. The lease is for an 8-year period and recuires equal annulatients of $31.751 at the beginning of escl year. The first payment is received on January 1, 2020 Cara Vista la purchased the maine Juriru 2916 for $116,000. Collectibility of lease payments by Carls Vistais grabable. Carla Vista set the annual rentalta crsurea'rate of return. The machine 136 an economic life of 10 years with ro residual value and reverts to Carla Vista at the termination of the lease Click here to walor talles Your ar aris incarret. Compute the amount at the learcoavabic.horalanabian purposes, uses decimal places as di ed in the factar cabinnawded and round fal answer to deal places 5,275. Amount of the lease receivable $ elextbook and Media List of Accounts Your arserklalycomcl. Penare al acessary journal entries for Cena Vittor 2023. C r ew alinda w amounts o norinen maaily Round answers to decimal placese 5,275 Date Account Titles and Explanation Debilt Credit 1/1/20 Le Reche CGS 118,000 Sakse Inventory (To recurd the lease) Carl Lease Receivable 34731 (To record the first lesse payment) Interest Receivable 12/31/20 In eTextbook and Media List of Accounts