Question
Joey Co. leased equipment to Legoria Co. on April 1, 2017. The first of eight equal annual payments of $175,000 (excluding executory costs) was made
Joey Co. leased equipment to Legoria Co. on April 1, 2017. The first of eight equal annual payments of $175,000 (excluding executory costs) was made on April 1, 2017. The Cost of the equipment to Joey Co. is $940,000. The Cash selling price is $1,026,900. Assume year end is 12/31.
1). What is Joeys desired rate of return on this lease?***
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Financial Accounting
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
9th Edition
1118334329, 978-1118334324
