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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 $23,000 annually,
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 $23,000 annually, beginning December 31,2021 , and continuing each year for 24 years. On January 1, 2021, the present value of the lease payments is $263,795 discounted at the 7% interest rate implicit in the lease In Rastall's December 31,2021 , balance sheet, the lease payable should be: $240,795$259,261$263,795$529,000
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