Crane Leasing Company leases a new machine to Cullumber Corporation The machine has a cost of $65,000 and fair value of $85,500 Under the 3 year, non cancelable contract, Cullumber will receive title to the machine at the end of the lease The machine has a 3 year useful life and no residual value The lease was signed on January 1, 2025 Crane expects to earn an 8 return on its investment, and this implicit rate is known by Cullumber The annual rentals are payable on each December 31, beginning December 31, 2025 Prepare an amortization schedule that would be suitable for both the lessor and the lessee and that covers all the years involved (For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answers to 0 decimal places e g 5,275 ) Prepare the journal entry at commencement of the lease for Crane (Credit account titles are automatically indented when amount is entered Do not indent manually ) Prepare the journal entry at commencement of the lease for Sharrer (Credit account titles are automatically indented when amount is entered Do not indent manually ) Prepare the journal entry at commencement of the lease for Sharrer, assuming (1) Sharrer does not know Crane's implicit rate (Sharrer's incremental borrowing rate is 9), and (2) Sharrer incurs initial directs costs of $8,000 (Credit account titles are automatically indented when amount is entered Do not indent manually For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answers to 0 decimal places e g 5,275 ) Crane Leasing Company leases a new machine to Cullumber Corporation The machine has a cost of $65,000 and fair value of $85,500 Under the 3 year, non cancelable contract Cullumber will receive title to the machine at the end of the lease The machine has a 3 year useful life and no residual value The lease was signed on January 1 2025 Crane expects to earn an 8 return on its imvestment, and this implicit rate is known by Cullumber The annual rentals are payable on each December 31 , beginning December 31,2025 Click here to view factor tables (b) Prepare an amortization schedule that would be suitable for both the lessor and the lessee and that covers all the years involved (For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answers to 0 decimal places e 3 5,275 )

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Crane Leasing Company leases a new machine to Cullumber Corporation. The machine has a cost of $65,000 and fair value of $85,500. Under the 3-year,

Crane Leasing Company leases a new machine to Cullumber Corporation. The machine has a cost of $65,000 and fair value of $85,500. Under the 3-year, non-cancelable contract, Cullumber will receive title to the machine at the end of the lease. The machine has a 3-year useful life and no residual value. The lease was signed on January 1, 2025. Crane expects to earn an 8% return on its investment, and this implicit rate is known by Cullumber. The annual rentals are payable on each December 31, beginning December

31, 2025.

Prepare an amortization schedule that would be suitable for both the lessor and the lessee and that covers all the years involved. (For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answers to 0 decimal places e.g. 5,275.)
Prepare the journal entry at commencement of the lease for Crane. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Prepare the journal entry at commencement of the lease for Sharrer. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Prepare the journal entry at commencement of the lease for Sharrer, assuming (1) Sharrer does not know Crane's implicit rate (Sharrer's incremental borrowing rate is 9), and (2) Sharrer incurs initial directs costs of $8,000. (Credit account titles are automatically indented when amount is entered. Do not indent manually. For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answers to 0 decimal places e.g. 5,275.)

Crane Leasing Company leases a new machine to Cullumber Corporation. The machine has a cost of $65,000 and fair value of $85,500. Under the 3-year, non-cancelable contract. Cullumber will receive title to the machine at the end of the lease. The machine has a 3-year useful life and no residual value. The lease was signed on January 1. 2025. Crane expects to earn an 8% return on its imvestment, and this implicit rate is known by Cullumber. The annual rentals are payable on each December 31 , beginning December 31,2025. Click here to view factor tables. (b) Prepare an amortization schedule that would be suitable for both the lessor and the lessee and that covers all the years involved. (For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answers to 0 decimal places e.3. 5,275.)