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On January 1 , 2 0 2 4 , Nguyen Electronics leased equipment from Nevels Leasing for a four - year perlod ending December 3
On January Nguyen Electronics leased equipment from Nevels Leasing for a fouryear perlod ending December at which time possession of the leased asset will revert back to Nevels. The equlpment cost Nevels $ and has an expected economic life of five years. Nevels expects the residual value on December will be $ Negotlations led to the lessee guaranteelng a $ residual value. Equal payments under the lease are $ and are due on December of each year with the first payment belng made on December Nguyen is aware that Nevels used a interest rate when calculating lease payments. Note: Use tables, Excel, or a financlal calculator. FV of $ PV of $ FVA of $ PVA of $ FVAD of $ and PVAD of $ Requlred: Prepare the approprlate entrles for both Nguyen and Nevels on January to record the lease. Prepare all approprlate entrles for both Nguyen and Nevels on December related to the lease. Complete this question by entering your answers in the tabs below. Prepare the appropriate entries for both Nguyen and Nevels on January to record the lease. Note: If no entry is required for a transactionevent select No journal entry required" in the first account field. Round you and final answers to the nearest whole dollar. Record the beginning of the lease for Nguyen. Record the beginning of the lease for Nevels.
On January Nguyen Electronics leased equipment from Nevels Leasing for a fouryear perlod ending
December at which time possession of the leased asset will revert back to Nevels.
The equlpment cost Nevels $ and has an expected economic life of five years.
Nevels expects the residual value on December will be $
Negotlations led to the lessee guaranteelng a $ residual value.
Equal payments under the lease are $ and are due on December of each year with the first
payment belng made on December
Nguyen is aware that Nevels used a interest rate when calculating lease payments.
Note: Use tables, Excel, or a financlal calculator. FV of $ PV of $ FVA of $ PVA of $ FVAD of $ and PVAD of
$
Requlred:
Prepare the approprlate entrles for both Nguyen and Nevels on January to record the lease.
Prepare all approprlate entrles for both Nguyen and Nevels on December related to the lease.
Complete this question by entering your answers in the tabs below.
Prepare the appropriate entries for both Nguyen and Nevels on January to record the lease.
Note: If no entry is required for a transactionevent select No journal entry required" in the first account field. Round you
and final answers to the nearest whole dollar.
Record the beginning of the lease for Nguyen.
Record the beginning of the lease for Nevels.
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