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On September 30, 2021, Ferguson Imports leased a warehouse. Terms of the lease require Ferguson to make 12 annual lease payments of $50,000 with the

On September 30, 2021, Ferguson Imports leased a warehouse. Terms of the lease require Ferguson to make 12 annual lease payments of $50,000 with the first payment due immediately. Accounting standards require the company to record a lease liability when recording this type of lease. Assume a 7% interest rate. What amount should Ferguson record the lease liability on September 30, 2021, before the first payment is made?

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