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Peanut Industries leased exercise equipment to Green's Gyms on January 1, 2023. The lease does not meet the criteria for classification as a finance lease
Peanut Industries leased exercise equipment to Green's Gyms on January 1, 2023. The lease does not meet the criteria for classification as a finance lease or a sales-type lease. The lease agreement specifies four payments of $50,000 beginning on January 1. 2023, The presen? value of those payments at a discount nte of 6% is $183.651. Which of the following is true regarding the entries made on January 1. 2023 ? Peanut industries records a credit to evercise equipment for $183,651 Peanut industries record a debit to cash for $50000 Grens Gyms records a debit to lease expense for $133.651 Green's Gyms recond a credit to lease payable of $50.000
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