A company leases a machine at an annual payment of $8,500 for 6 years. an interest rate of 5% is assumed and the lease qualifies as a finance lease. The present value of the lease payments is $43,143. How would the company record the lease in their general ledger?

Answer rating: 100% (QA)

When a company enters into a finance lease it needs to record both the lease asset and the lease lia... View the full answer