In $2018,$ Snack That launched a corporate initiative to free up cash to fund a new snack product

line. As a result, on July $1,2018,$ Snack That entered into a sale$-$and$-$leaseback arrangement with

Rent That Inc. $("$Rent That"$)$ for both its corporate housing facility and its shuttle. Assume the

agreement meets the definition of a contract under ASC $606-10-25-1$ through $25-8$ and that

certain of the indicators related to the transfer of control of a point$-$in$-$time performance

obligation $($i$.$e$.,$ the housing facility and the shuttle being transferred from Snack That to Rent

That$)$ in ASC $606-10-25-30$ have been met. Further assume that the inception of the contract and

the commencement of the lease are both on July $1,2018.$ Note that the Company adopted ASC

$842$ prior to July $1,2018.$