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Questions #6-7 are based on the following information: In a sales-type lease (with no selling profit), on January 1, 2021, the lessor leased a machine

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Questions \#6-7 are based on the following information: In a sales-type lease (with no selling profit), on January 1, 2021, the lessor leased a machine with a fair value of $34,600. The lease contract specifies that five lease payments be made annually starting with the inception of the lease. A $3,000 bargain purchase option is exercisable at the end of the five-year lease. The asset has an expected useful life of six years. The effective annual interest rate of tho lessor is 10%. 6. What is the annual lease payment as determined by the lessor? A. 8,000 B. 7,851 C. 7,578 D. 8,298 7. What would the lessee record as annual amortization on the asset using the straight-line method, assuming no residual value

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