Record the following 20X8 transactions in the Town of Colin General Fund General Ledger.
1. The Town of Colin entered into a capital lease for firefighting equipment. The capitalizable cost of the equipment was $3,800,000, and the town made a 10% down payment at the inception of the lease. The effective interest rate implicit in the lease was 10%, compounded semiannually.
2. The town paid its first semiannual lease payment of $240,000.
3. The second semiannual lease payment of $240,000, due the last day of the town fiscal year, was paid.

  • CreatedOctober 25, 2014
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