Question
Lister Ltd leases a robot to Rimmer Ltd. The lease has the following terms: Lister Ltd leases a robot to Rimmer Ltd. The lease has
Lister Ltd leases a robot to Rimmer Ltd. The lease has the following terms: Lister Ltd leases a robot to Rimmer Ltd. The lease has the following terms: The lease is for a three year period, commencing 1 July 2020. The lease payments are to be made in arrears, with the first payment on 30 June 2021. Each lease payment is to be for $40 000. The expected residual value of the robot is $10 000. Rimmer Ltd guarantees none of the residual value. The interest rate implicit in the lease is 7%. Assuming that Lister Ltd does not incur any initial direct costs and that the lease is a finance lease, what is the amount of the lease receivable which they should recognise at the start of the lease?
$104 973
$113 136
$120 484
$130 000
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