cathy salons leased equipment from Dillion Co. on July 1, 2021, in a finance lease. The present value of the lease payment discounted at 10% was $101,385. Ten annual lease payments of $15,000 are due each year beginning July 1, 2021. The total decrease in earnings (pretax) in Cathy's 2021, income statement would be (ignore taxes):

Cathy Salons bed equipment from Dillion Co on July 1, 2021, na finance lease. The per value of the termen dicomede 101 wa 5101,281. Teemad 515.000 due each year beginning July 1, 2021. The total decrease in camins (pa) in Caly's 2021 income ad ese) 59.35 S10,000 59,748 510,138