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please show formulas in excel! thank you Senators Company manufactures a computer with an estimated economic life of 12 years and leases it to Canadiens
please show formulas in excel! thank you
Senators Company manufactures a computer with an estimated economic life of 12 years and leases it to Canadiens Company for a period of 10 years. The normal selling price of the computer is $239,640, and its unguaranteed residual value at the end of the lease term to be $10,000. Canadiens will pay annual payments of $30,000 at the beginning each year. Senators incurred costs of $150,000 in manufacturing the computer. Senators determined that the collectability of the lease payments is reasonably predictable that no additional cost will be incurred and that the implicit rate of interest is 6%. 1.Prepare a 10-year lease amortization schedule for the lessor. (Must use Excel) 2. Prepare all the lessor's journal entries for the first, second, and third years (Show all computations) 3. Assume that Canadiens Company has an incremental borrowing rate of 6%, prepare a 10 -year lease amortization schedule. (Must use Excel) 4.Prepare all the lessee's journal entries for the first, second, and third years (Show all computations) Step by Step Solution
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