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On January 1, 2019, ABC Company leased office furniture from Floor Company. The terms of the lease require annual payments of $25,000 for 20 years

On January 1, 2019, ABC Company leased office furniture from Floor Company. The terms of the lease require annual payments of $25,000 for 20 years with the first payment being due on December 31, 2019. The interest rate on the lease is 10%, and the lease qualifies as a capital lease. ABC Company uses the double-declining balance method to depreciate its assets. Calculate the total amount of expense related to this lease that would be reported in ABC Company's 2021 income statement. You will need to use the time value of money table factors posted in carmen to answer this question. To access these factors, click modules and then scroll to week 12. Click on the link labeled present & future value table factors. No credit will be awarded for this question using a means other than these table factors to answer this question.

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