On January 1, 2015, Danielle Manufacturing leased another piece of machinery for use in its North American operations from Famiglia Bank. The nine-year, non-cancel lable lease requires annual lease payments of $11,400, beginning January 1, 2015, and at each December 31 thereafter through 2022. The lease agreement does not transfer ownership of the machinery, nor does it contain a bargain purchase option. The machinery has a fair value of $72,218 and an estimated life of 12 years. Collectability is reasonably assured and there are no material uncertainties regarding future nonreimbursable costs. Famiglia Bank's carrying value for the machinery is $72,218 and its implicit rate is 10%. Provide the journal entries for Famiglia Bank for 2015 (Click the icon to view the Future Value of $1Click the icon to view the Present Value of $1 table.) table.) (Click the icon to view the Future Value of an Ordinary Annuity table.) (Click the icon to view the Present Value of an Ordinary Annuity table.) Click the icon to view the Future Value of an (Click the icon to view the Present Value of an Annuity Annuity Due table) Due table.) Before completing the requirements, identify the present value of the lease payments. (Use the present value and future value tables, the formula method, a financial calculator, or a spreadsheet for your calculation. If using present and future value tables or the formula method, use factor amounts rounded to five decimal places, Xxxxxx. Round your final answer to the nearest whole dollar.) The present value (PV) of the payments due under the lease is $ This is a(n) Provide the journal entries for Famiglia Bank for 2015. (Record debits first, then credits. Exclude explanations from any journal entries. If no entry is required select "No Entry Required on the first line of the journal entry table and leave all lease for the lessor (Famiglia) because of the Group I criteria is(are) met, of the Group Il criteria is(are) met, and the transaction rise to gross profit or loss remaining cels in the table blank. Round all amounts to the nearest whole dollar) Begin by preparing the entry for Famiglia at the inception of the lease on January 1, 2015. Exclude the first annual lease payment from this entry We will record that payment in the next step. Account January 1, 2015 Prepare the entry for the annual lease payment received on January 1, 2015 Account January 1, 2015 Record Famiglia's interest accrual related to the second lease payment on December 31, 2015 Account December 31, 2015 On January 1, 2015, Danielle Manufacturing leased another piece of machinery for use in its North American operations from Famiglia Bank. The nine-year, non-cancel lable lease requires annual lease payments of $11,400, beginning January 1, 2015, and at each December 31 thereafter through 2022. The lease agreement does not transfer ownership of the machinery, nor does it contain a bargain purchase option. The machinery has a fair value of $72,218 and an estimated life of 12 years. Collectability is reasonably assured and there are no material uncertainties regarding future nonreimbursable costs. Famiglia Bank's carrying value for the machinery is $72,218 and its implicit rate is 10%. Provide the journal entries for Famiglia Bank for 2015 (Click the icon to view the Future Value of $1Click the icon to view the Present Value of $1 table.) table.) (Click the icon to view the Future Value of an Ordinary Annuity table.) (Click the icon to view the Present Value of an Ordinary Annuity table.) Click the icon to view the Future Value of an (Click the icon to view the Present Value of an Annuity Annuity Due table) Due table.) Before completing the requirements, identify the present value of the lease payments. (Use the present value and future value tables, the formula method, a financial calculator, or a spreadsheet for your calculation. If using present and future value tables or the formula method, use factor amounts rounded to five decimal places, Xxxxxx. Round your final answer to the nearest whole dollar.) The present value (PV) of the payments due under the lease is $ This is a(n) Provide the journal entries for Famiglia Bank for 2015. (Record debits first, then credits. Exclude explanations from any journal entries. If no entry is required select "No Entry Required on the first line of the journal entry table and leave all lease for the lessor (Famiglia) because of the Group I criteria is(are) met, of the Group Il criteria is(are) met, and the transaction rise to gross profit or loss remaining cels in the table blank. Round all amounts to the nearest whole dollar) Begin by preparing the entry for Famiglia at the inception of the lease on January 1, 2015. Exclude the first annual lease payment from this entry We will record that payment in the next step. Account January 1, 2015 Prepare the entry for the annual lease payment received on January 1, 2015 Account January 1, 2015 Record Famiglia's interest accrual related to the second lease payment on December 31, 2015 Account December 31, 2015
