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Problem 2 . Jonathan Company decided to enter the leasing business. The entity acquired a specialized packaging machine for P 2 , 3 0 0

Problem 2. Jonathan Company decided to enter the leasing business. The entity acquired a specialized packaging machine for P2,300,000.
On January 1,2019, the entity leased the machine under direct financing lease for a period of six years, after which the title to the machine is transferred to the lessee.
Thee six annual lease payments are due each January 1. The residual value of machine is P200,000. Implicit interest rate is 12%. Round the present value to two decimal factors.
- What is the annual rental payable in advance required to yield the desired return?
a.500,000
b.477,826
c.383,333
d.460,000

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