ABC Ltd signed a 4-year contract with Comp Ltd for the use of a customised machinery on 1 July 2022.ABC Ltd intends to return the asset at the end of the lease term. The leased machinery meets the criteria of a leased asset in accordance with AASB16 Leases. The following information shows the lease terms:

Lease term (non-cancellable)	4 years
Expected useful life of the machinery	6 years
Expected fair value of the machinery at the end of lease term	$30 000
Residual value guaranteed	$50 000
Bargain purchase price at the end of lease term	$60 000
Net initial directly attributable costs (paid at 1 July 2022)	$8 000
Annual lease payment (paid in arrears)	$70 000
Interest rate implicit in the lease	10% p.a.

What is the amount to be recorded as a Current Lease Liability in the books of ABC Ltd that is in accordance with AASB16 Leases on 30 June 2023?

Group of answer choices

$51,089

$88,818

$47,811

$46,445

2)

Which journal entries that ABC Ltd needs to record on 1 July 2022 in relation to the lease contract?

Group of answer choices

	Dr ($)	Cr ($)
ROU Asset	221,891
Lease liability		221,891

	Dr ($)	Cr ($)
ROU Asset	229,891
Lease liability		221,891
Cash		8,000

	Dr ($)	Cr ($)
ROU Asset	235,551
Lease liability		235,551

	Dr ($)	Cr ($)
ROU Asset	243,551
Lease liability		235,551
Cash		8,000