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Your answer is partially correct. Assuming a capitalized value of terminal facilities at January 1 , 2 0 2 3 , of $ 9 ,
Your answer is partially correct.
Assuming a capitalized value of terminal facilities at January of $ prepare journal entries for Sunland Trucking to record the following:
The signing of the lease
The cash payment to the lessor on January
Depreciation of the cost of the properties for using the straightline method
The accrual of interest expense at December and any other adjusting journal entries concerning the lease
eTextbook and Media
List of Accountstook possession of the leased properties and made a cash payment of $
Although the useful life of each terminal is years, the noncancellable lease runs for years from January with a purchase option available on expiration of the lease.
$ for insurance. The lease was negotiated to assure the lessor a rate of return.
Click here to view the factor table PRESENT VALUE OF
Click here to view the factor table PRESENT VALUE OF AN ANNUITY DUE.
a
Your answer is correct.
Present value of first payments
Present value of last payments
Present value of bargain purchase option
Discounted present value of terminal facilities and related obligation
eTextbook and Media
List of Accounts
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