Question
Chance Enterprises leased equipment from Third Bank Leasing on January 1, 2024. Chance elected the short-term lease option. Appropriate adjusting entries are made annually. Related
Chance Enterprises leased equipment from Third Bank Leasing on January 1, 2024. Chance elected the short-term lease option. Appropriate adjusting entries are made annually.
| Related Information: | ||
|---|---|---|
| Lease term | 1 | years (12 monthly periods) |
| Monthly lease payments | $62,000 | on January 1, 2024, through December 1, 2024. |
| Economic life of asset | 5 | years |
| Interest rate charged by the lessor | 8% |
Required:
Prepare appropriate entries for Chance from the beginning of the lease through April 1, 2024.
Record the lease payment made by Chance. Note: Enter debits before credits. Record the lease payment made by Chance. Note: Enter debits before credits. Record the lease payment made by Chance. Note: Enter debits before credits. Record the lease payment made by Chance. Vote: Enter debits before credits. Record the beginning of the lease for Chance. Note: Enter debits before credits
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From Zero To Zen Secret Keys To Nurturing Your Numbers And Finding Financial Flow
Authors: Liz Lajoie
1st Edition
1683507045, 978-1683507048
