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please help me with this task On January 2023 Antler Ltd entered into the following lease agreements with Lease Ltd. 1) An asset, asset A
please help me with this task
On January 2023 Antler Ltd entered into the following lease agreements with Lease Ltd. 1) An asset, asset A which could be purchased outright for $639540, is instead leased for three years. The useful economic life of the asset is three years and at the end of this time, the asset will have no residual value. Antler Ltd is responsible for all maintenance and repairs and for all insurance costs for asset A. The lease for asset A provides for half-yearly payments in advance of $120000, the first payment being made on 1 January 2023. 2) An asset, asset B, which could be purchased outright for $720000, is leased for six years for annual payments of $180000 per annum payable in advance. The useful economic life of asset B is eight years. At the end of the six years, Antler Ltd intends to return the asset. Required: Prepare extracts of financial statements at 31 December 2023 and 2024. Discount rate is 10%. Apply exemptions if possible Step by Step Solution
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