On June 1 , Steady Consulting signed a lease on electronic office equipment for three years. At
Fantastic news! We've Found the answer you've been seeking!
Question:
On June Steady Consulting signed a lease on electronic office equipment for three years. At the end of the lease Steady has the option to purchase the equipment for $ Lease payments are to be $ per month with payment due the st of the month. The implied interest rate is and the present value of the lease payments is $ As part of the lease term Steady will be billed an additional $ per month for a maintenance contract. Give the journal entries related to the lease for June and July The st payment will be June Depreciation will be recorded at year end only.
b Assuming straight line and no salvage value and a year useful life, what is the depreciation expense on the leased equipment at December
Related Book For
Intermediate Accounting
ISBN: 978-0077400163
6th edition
Authors: J. David Spiceland, James Sepe, Mark Nelson
Posted Date: