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please help Vour answer is partially correct On January 1,2025, Carla Vista Animation sold a truck to Sandhill Finance for $41,000 and immediately leased it
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Vour answer is partially correct On January 1,2025, Carla Vista Animation sold a truck to Sandhill Finance for $41,000 and immediately leased it back The truckwas caeried on Carla Vista's books at $34,000. The term of the lease is 5 years, there is no bargain purchase option, and title does not transfer to Carla Vista at lease-end. The lease requires five equal rental payments of $9.470 at the end of each year (first payment on January 1, 2026). The appropriate rate of interest is 5%, the truck has a useful life of 5 years, with no expected residual value at the end of the lease term. Prepare Carla Vista's 2025 journal entries, (List all debit entries before credit entries, Credit occount tidies are automotically indented when the amount is entered. Donot indent manually. If no entry is required, select "No Entry" for the occount titles and enter ofor the amounts. Foe calculation purposes, use 5 decimal places as disployed in the foctar toble provided and round final onswers to 0 decimal ploces, ex. 5, 275: Recond joumal entries in the order presented in the problem) cichere to view factor tables. Date Account Tites and Explanation Debit Credit stion 2 of 3 1/2.5; fulation purposes, use 5 decimal places as displayed in the foctor table provided and round final answers to 0 decimal places, es, 5,275. ford journal entries in the order presented in the problem.) ck here to view factor tables Step by Step Solution
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