I updated B1 and C1, All other information is complete please help me answer my question please

Saved On January 1, 2019. Carey Inc. entered into a noncancelable lease agreement, agreeing to pay $5,857 at the end of each year for 2 years to acquire a new computer system having a market value of $9,900. The expected useful life of the computer system is also 2 years, and the computer will be depreciated on a straight-line basis with no salvage value. The interest rate used by the lessor to determine the annual payments was 12%. Under the terms of the lease, Carey has an option to purchase the computer for $1 on January 1, 2023. See Table 6-5. (Use the appropriate factor by clicking on the Table link.) Required: a. Should Carey Inc. account for this lease as a financing lease or an operating lease? b. Prepare the horizontal model and record the journal entry that Carey Inc. should make on Januaryt 2019. (Hint First determine the present value of future lease payments.) c. Prepare the horizontal model and record the journal entry that Carey Inc. should make on December 31, 2019, to record the first ann lease payment of $5,857. (Hint Based on your answer to part b, determine the appropriate amounts for interest and principal.) Indicate the financial statement effect. d. What expenses (include amounts) should be recognized for this lease on the income statement for the year ended December 31, 2019? e. The accounting for an asset acquired under a capital lease Complete this question by entering your answers in the tabs below. Required A Required B1 Required BZ Required C1 Required C2 Required D Required E Should Carey Inc. account for this lease as a financing lease or an operating lease? Financing lease Operating loase Hequired 1 On January 1, 2019, Carey Inc. entered into a noncancelable lease agreement agreeing to pay $5,857 at the end of each year for 2 years to acquire a new computer system having a market value of $9,900. The expected useful life of the computer system is also 2 years, and the computer will be depreciated on a straight-line basis with no salvage value. The interest rate used by the lessor to determine the annual payments was 12%. Under the terms of the lease, Carey has an option to purchase the computer for $1 on January 1, 2023. See Table 6-5. (Use the appropriate factor by clicking on the Table link.) Required: a. Should Carey Inc. account for this lease as a financing lease or an operating lease? b. Prepare the horizontal model and record the journal entry that Carey Inc. should make on January 1, 2019. (Hint First determine the present value of future lease payments.) c. Prepare the horizontal model and record the journal entry that Carey Inc. should make on December 31, 2019, to record the first annual lease payment of $5,857. (Hint Based on your answer to part b, determine the appropriate amounts for interest and principal.) Indicate the financial statement effect. d. What expenses (include amounts) should be recognized for this lease on the income statement for the year ended December 31 2019? The accounting for an asset acquired under a capital lease Complete this question by entering your answers in the tabs blow. Required B1 Required A Required B2 Required C: Required C2 Required D Required E Prepare the horizontal model that Carey Inc. should make on January 1, 2019. (Hint: First determine the present value of future lease payments.) (Um calculations. Round your final answers to the nearest whole dollar amount.) Balance Sheet Liabilities Net Income . Stockholders' Equity Assets Complete this question by entering your answers in the tabs below. Required A Required B1 Required B2 Required C1 Required C2 Required D Required E Record the journal entry that Carey Inc. should make on January 1, 2019. (Hint: First determine the present value of future lease payments.) (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round up your answer to the nearest ten dollars. Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount) View transaction list Journal entry worksheet 1 Record the capital lease transaction at the present value of future lease payments. Note: Enter debits before credits General Journal Event 1 Debit Credit Record entry Clear entry View general Journal HO On January 1, 2019, Carey Inc. entered into a noncancelable lease agreement, agreeing to pay $5,857 at the end of each year for 2 years to acquire a new computer system having a market value of $9,900. The expected useful life of the computer system is also 2 years, and the computer will be depreciated on a straight-line basis with no salvage value. The interest rate used by the lessor to determine the annual payments was 12%. Under the terms of the lease, Carey has an option to purchase the computer for $1 on January 1, 2023. See Table 6-5. (Use the appropriate factor by clicking on the Table link.) Required: a. Should Carey Inc. account for this lease as a financing lease or an operating lease? b. Prepare the horizontal model and record the journal entry that Carey Inc. should make on January 1, 2019. (Hint First determine the present value of future lease payments.) c. Prepare the horizontal model and record the journal entry that Carey Inc. should make on December 31, 2019, to record the first annual lease payment of $5,857. (Hint. Based on your answer to part b, determine the appropriate amounts for interest and principal.) Indicate the financial statement effect. d. What expenses (include amounts) should be recognized for this lease on the income statement for the year ended December 31 2019? e. The accounting for an asset acquired under a capital lease Complete this question by entering your answers in the tabs below. Required A Required B1 Required B2 Required CI Required C2 Required D Required E Prepare the horizontal model that Carey Inc. should make on December 31, 2019, to record the first annual lease payment of $5.857. (Hint: Based statement effect. (Enter decreases with a minus sign to indicate a negative financial statement effect. Do not round intermediate calculations. Roun Balance Sheet Liabilities Stockholders' Equity Net Income Assets C Required A Required B1 Required B2 Required C1 Required C2 Required D Required E Record the journal entry that Carey Inc. should make on December 31, 2019, to record the first annual tease payment of $5,857. (Hint: Based on your answer to part b, determine the appropriate amounts for interest and principal.) (If no entry is required for a transaction/event, select "No journal entry required in the first account field. Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.) View transaction list Journal entry worksheet Record the first annual lease payment on capital lease. Note: Enter debits before credits Event General Journal Debit Credit 1 View general journal Record entry Clear entry Savod On January 1, 2019, Carey Inc. entered into a noncancelable lease agreement, agreeing to pay $5,857 at the end of each year for 2 years to acquire a new computer system having a market value of $9,900. The expected useful life of the computer system is also 2 years, and the computer will be depreciated on a straight-line basis with no salvage value. The interest rate used by the lessor to determine the annual payments was 12%. Under the terms of the lease, Carey has an option to purchase the computer for $1on January 1, 2023. See Table 6-5. (Use the appropriate factor by clicking on the Table link.) Required: a. Should Carey Inc. account for this lease as a financing lease or an operating lease? b. Prepare the horizontal model and record the journal entry that Carey Inc. should make on January 1, 2019. (Hint First determine the present value of future lease payments.) c. Prepare the horizontal model and record the journal entry that Carey Inc. should make on December 31, 2019, to record the first annual lease payment of $5,857. (Hint Based on your answer to part b, determine the appropriate amounts for interest and principal.) Indicate the financial statement effect. d. What expenses (include amounts) should be recognized for this lease on the income statement for the year ended December 31, 2019? e. The accounting for an asset acquired under a capital lease Complete this question by entering your answers in the tabs below. Required A Required B1 Required B2 Required CI Required 2 Required D Required What expenses (include amounts) should be recognized for this lease on the income statement for the year ended December 31, 2019? (Do not round Intermediate calculations. Round your final answers to the nearest whole dollar amount.) Income statement (Partial) ve E Check _857 at the end of each year for 2 e of the computer system is also 2 erest rate used by the lessor to urchase the computer for $1 on Bary 1, 2019. (Hint First determine the ember 31, 2019, to record the first riate amounts for interest and it for the year ended December 31, sine the present value of future lease payments.) (Use amounts with for increases and amounts with for decrease medical come tatuant Revenue Income -n January 1, 2019, Carey Inc. entered into a noncancelable lease agreement, agreeing to pay $5,857 at the end ears to acquire a new computer system having a market value of $9,900. The expected useful life of the compu ears, and the computer will be depreciated on a straight-line basis with no salvage value. The interest rate used etermine the annual payments was 12%. Under the terms of the lease, Carey has an option to purchase the com anuary 1, 2023. See Table 6-5. (Use the appropriate factor by clicking on the Table link.) "equired: Should Carey Inc. account for this lease as a financing lease or an operating lease? . Prepare the horizontal model and record the journal entry that Carey Inc. should make on January 1, 2019. (Hint present value of future lease payments.) - Prepare the horizontal model and record the journal entry that Carey Inc. should make on December 31, 2019, to annual lease payment of $5,857. (Hint Based on your answer to part b, determine the appropriate amounts for in principal.) Indicate the financial statement effect. 8. What expenses (include amounts) should be recognized for this lease on the income statement for the year endec 2019? e. The accounting for an asset acquired under a capital lease Complete this question by entering your answers in the tabs below. Required A Required B1 Required B2 Required CI Required C2 Required D Required E Prepare the horizontal model that Carey Inc. should make on December 31, 2019, to record the first annual lease payment of $ statement effect. (Enter decreases with a minus sign to indicate a negative financial statement effect. Do not round intermediate Balance Sheet Liabilities Assets Stockholders' Equity Not Income ork con and Ana 21 Saved Question Chapter 6 Graded Ho Help Save Exit Check pay $5,857 at the end of each year for 2 Seful life of the computer system is also 2 The interest rate used by the lessor to to purchase the computer for $1 on en January 1, 2019. (Hint First determine the an December 31, 2019, to record the first ppropriate amounts for interest and atement for the year ended December 31, red E the first annual lease payment of $5,857. (Hint: Based on your answer to part b, determine the appropriate amounts for interest and principal) indicate the financiar ent effect. Do not round Intermediate calculations. Round your final answers to the nearest whole dollar amount) Ety Not Income Income Statement Revenues Required 2 Required ca >