On January 1, 2019, the lessor leased a machinery to another entity with the following details...

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On January 1, 2019, the lessor leased a machinery to another entity with the following details (lease payments are received at the end of the year): Cost of the machinery Lease term Useful life of machinery 1,518,650 4 years 4 years 12% Implicit interest rate a. Prepare necessary journal entries for the entire lease term. b. Prepare the table of amortization. c. Using the information above and in addition, the lessor paid initial direct cost of P66,300. Compute for the gross investment, net investment, and unearned interest On January 1, 2019, the lessor leased a machinery to another entity with the following details (lease payments are received at the end of the year): Cost of the machinery Lease term Useful life of machinery 1,518,650 4 years 4 years 12% Implicit interest rate a. Prepare necessary journal entries for the entire lease term. b. Prepare the table of amortization. c. Using the information above and in addition, the lessor paid initial direct cost of P66,300. Compute for the gross investment, net investment, and unearned interest

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ANSWER a Journal Entries for the Entire Lease Term At the Inception of the Lease Account Titles and ... View the full answer