Question
On October 1, 2021, Egipciaco Company leased a specialized equipment from Wire Rent Company for use in a construction project. The lease is for 6
On October 1, 2021, Egipciaco Company leased a specialized equipment from Wire Rent
Company for use in a construction project. The lease is for 6 months and required monthly
payments of $30,000 at beginning of each month. Egipciaco Company elected the short-term option in accounting for lease.
Required:
-
Record in General Journal form each one of the 6 payments.
2. How much expense is for 2021 and for 2022.
3. Explain why a company in a short-term lease has the option to elect not record a
Right-of-use-Asset?
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Controlling Fur Kleine Und Mittlere Unternehmen
Authors: David Muller
2nd Edition
3110514877, 9783110514872
