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Technoid Insells computer systems. Technoid leases computers to Lone Star Company on January 1, 2021. The manufacturing cost of the computers was $17 million This
Technoid Insells computer systems. Technoid leases computers to Lone Star Company on January 1, 2021. The manufacturing cost of the computers was $17 million This noncancelable lease had the following terms: Lease payments: $2,691,724 semiannually, first payment at January 1, 2021 remaining payments at June 30 and December 31 each year through June 30, 2025 Lease term: 5 years (10 semiannual payments) No residual value, no purchase option Economic life of equipment: 5 years. Implicit interest rate and lessee's incremental borrowing rate: 6% semiannually. Fair value of the computers at January 1, 2021 $21 million What is the outstanding balance of the lease liability in Lone Star's June 30, 2021, balance sheet? (Round your answer to the nearest whole dollar) Multiple Choice None of these answer choices is correct $16.715,049. $21,000,000 $17,115,058
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