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Logitech Oman company signed 7 years lease agreement for the equipment in 2015 and the annual payment was RO 37,500 at the beginning. The fair
Logitech Oman company signed 7 years lease agreement for the equipment in 2015 and the annual payment was RO 37,500 at the beginning. The fair value estimated at RO 243,600, interest rate is 9 % and straight-line method is applied. The PV (Present Value) is calculated as RO 205,722. Evaluate this lease contract, calculate, and show the closing balance as per the Amortization table of the equipment in Year 3?
a.
RO 94,924
b.
RO 65,967
c.
RO 121,490
d.
RO 34,368
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