Question: Record the following 20X8 transactions in the Town of Colin

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.


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  • CreatedOctober 25, 2014
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