On January 1, 2022, Payton Corp. leases a building for three years from Oladipo Finance. At...
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On January 1, 2022, Payton Corp. leases a building for three years from Oladipo Finance. At the date of lease inception, the present value of minimum lease payments is properly calculated at $175,000, using Payton's incremental borrowing rate of 10%. Lease expense is properly recorded as $53,000 for 2022, and the lease is properly classified as an operating lease. What is the carrying value of the right-of-use asset at December 31, 2022 after all necessary adjustments? On January 1, 2022, Payton Corp. leases a building for three years from Oladipo Finance. At the date of lease inception, the present value of minimum lease payments is properly calculated at $175,000, using Payton's incremental borrowing rate of 10%. Lease expense is properly recorded as $53,000 for 2022, and the lease is properly classified as an operating lease. What is the carrying value of the right-of-use asset at December 31, 2022 after all necessary adjustments?
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Related Book For
Intermediate Accounting IFRS
ISBN: 9781119607519
4th Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
Posted Date:
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