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On December 3 1 , 2 0 2 4 , Crane Company leased machinery from Blossom Corporation for an agreed - upon lease term of
On December Crane Company leased machinery from Blossom Corporation for an agreedupon lease term of years. Crane agreed to make annual lease payments of $ beginning on December The expected residual value of the machinery at the end of the lease term is $ though Crane does not guarantee any residual value to Blossom.
What amount will Crane record as its lease liability on December if its incremental borrowing rate is and the implicit rate of the lease is unknown? For calculation purposes, use decimal places as displayed in the factor table provided and round final answer to decimal places, eg
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Lease liability
TABLE Present Value of Present Value of a Single Sum
tabletable
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