$($f$)$

Your answer is partially correct.

Record the first month's amortization on Teal Mountain's books $($assume straight$-$line$).($List debit entry before credit entry. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. Round answers to $0$ decimal places, e$.$g$.5,275.)$

Account Titles and Explanation

Debit

Credit

Accumulated Depreciation$-$Leased Equipment

$$

$$

Accumulated Depreciation$-$Leased Equipment $$

$$

eTextbook and Media

List of Accounts

Attempts: $2$ of $5$ used $$

$($g$)$

$$

Your answer is incorrect.

Suppose that instead of $$1,840,$ Teal Mountain expects the residual value to be only $$500($the guaranteed amount is still $$1,840).$ How does the calculation of the present value of the lease payments change from part $($b$)?$ The PV of $1$ for $50$ periods at $0\mathrm{.}5\%$ is $0\mathrm{.}77929.($Round answer to $0$ decimal places, e$.$g$.5,275.)$

PV of lease payments

$$

$($e$)$

Your answer is partially correct.

Record the second month's lease payment. $($List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter O for the amounts. Round answers to $0$ decimal places, e$.$g$.5,275.)$

Account Titles and Explanation

Interest Expense

Lease Liability

Debit

$$

$$

$$

Credit

$$

$$

$$

Your answer is partially correct.

Based on the original fact pattern, record the lease on Teal Mountain's books at the date of commencement. $($List debit entry before credit entry. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts.$)$

$\backslash$table$[[$Account Titles and Explanation,Debit,Credit$],[,,$