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E7. In Footnote 10 of the 2015 financial statements, Hyatt (H) shows the following future operating lease infortion Years Ending December 31, 2016 Operating Leases

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E7. In Footnote 10 of the 2015 financial statements, Hyatt (H) shows the following future operating lease infortion Years Ending December 31, 2016 Operating Leases $ 41 Capital Leases 2017. 2018. . 2019 2020. . . Thereafter. ...- $ 3 2 2 2 2 10 $21 39 38 28 474 $653 . Total minimum lease payments. Less amount representing interest . . , , , , , . . . , , , , , , . , , , , , Present value of minimum lease payments... . 5 $16 a. Assuming the capital lease payments after 2020 will be $2 per year, what is the implied discount rate on H's capi leases? Now assume a discount rate of 6 percent for H's operating leases. Estimate the unrecognized asset and liability for assets acquired under operating leases for H at December 31, 2015 b. c. Given the estimated unrecognized liability calculated in part b., what impact does including this amount have on the liabilities of H reported on the balance sheet

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