On January 1, 2021, Rastall Co. signed a long-term finance lease for an office building. The terms of the lease required Rastall to pay $33,000
On January 1, 2021, Rastall Co. signed a long-term finance lease for an office building. The terms of the lease required Rastall to pay $33,000 annually, beginning December 31, 2021, and continuing each year for 24 years. On January 1, 2021, the present value of the lease payments is $296,497 discounted at the 10% interest rate implicit in the lease. In Rastalls December 31, 2021, balance sheet, the lease payable should be:
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Authors: Benito Arrunada
1999th Edition
0792384733, 978-0792384731
