Question
On January 1, Duncan Corporation leased a delivery van, agreeing to pay $10,575 every December 31 for the six-year life of the lease. The present
On January 1, Duncan Corporation leased a delivery van, agreeing to pay $10,575 every December 31 for the six-year life of the lease. The present value of the lease payments, at 6% interest, is $52,000. The lease is considered a capital lease. The general journal entry to record the acquisition of the delivery van is:
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Cost Accounting A Managerial Emphasis
Authors: Charles T. Horngren, Foster George, Srikand M. Datar, Maureen P. Gowing
5th Canadian Edition
0135004934, 978-0135004937
