Use the information in RE20-1. Prepare the journal entry that Keller Corporation would make each year, assuming

Question:

Use the information in RE20-1. Prepare the journal entry that Keller would make each year, assuming the lease is classified as an operating lease.
RE20-1
Next Level Keller (the lessee) entered into an equipment lease with Dallo Company (the lessor) on January 1 of Year 1. Use the following information to decide whether this lease qualifies as an operating or capital lease for Keller, and give an explanation using the four classification criteria. Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...