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plz solve this for me quickly i hve to give exam tommorow :'( Question 3 1. Assume that on Feb 1, Alico Enterprise leased a
plz solve this for me quickly i hve to give exam tommorow :'(
Question 3 1. Assume that on Feb 1, Alico Enterprise leased a car to Abid Enterprise for six months at a monthly rental of Rs 70,000. 2. Assume that on Feb 1, Alico Enterprise uses a capital lease to finance the sale of a car to Abid Enterprise. The car's cost in Alico Enterprise's record was Rs. 1,200,000. Terms of the lease call for Abid to make 36 monthly payments of 50,000 each, beginning March 1. These lease payments include an interest charge of 1% per month, and the present value of the 36 future lease payments is Rs 1,505,400. At the end of the 36-month lease, title to the car will pass to Abid at no additional cost. Required: Make the Feb 1 and March 1 general entries for lessor and lessee in both the casesStep by Step Solution
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