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Mentzer Co. purchased a machine on January 1, 2021, for $2,500,000 for the express purpose of leasing it. The machine is expected to have a

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Mentzer Co. purchased a machine on January 1, 2021, for $2,500,000 for the express purpose of leasing it. The machine is expected to have a five-year life, no salvage value, and be depreciated on a straight-line monthly basis. On March 1, 2021. Mentzer leased the machine to Dunbar Company for $750.000 a year for a four-year period ending February 28, 2025. Mentzer incurred total maintenance and other related costs under the provisions of the lease of $25,000 relating to the year ended December 31, 2021 Dunbar paid $750,000 to Mentzer on March 1, 2021 Question: Assuming an operating lease, what should be the income before income taxes derived by Mentzer Co. from this lease for the year ended December 31, 2021? QUESTIONS Question: What amount of Amortization Expense should Dunbar charge into that account for 2021? QUESTION 9 Question: What should be the total amount of lease expense incurred by Dunbar from this lease for the year ended December 31, 2021

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